- Civeo Corp (NYSE:CVEO) reported first-quarter FY22 sales growth of 32%, to $165.68 million, beating the consensus of $142.24 million.
- The revenue increase was primarily due to a significant rise in Canadian lodge billed rooms, increased Canadian mobile camp activity, and improved Australian village billed rooms.
- Canada segment sales rose 55% Y/Y to $96 million, the Australian segment increased 6.5% to $63.5 million, and that of the U.S. rose 58.9% to $6.2 million.
- The operating margin was 2.6%, and operating income for the quarter was $4.2 million.
- Adjusted EBITDA improved 57.6% to $25.6 million.
- EPS of $0.06 beat the consensus of $(0.24).
- The company held $6.4 million in cash and equivalents as of March 31, 2022. Net cash provided by operating activities totaled $1.9 million for the quarter.
- "We are experiencing increased accommodation needs in Canada for the turnaround season along with continued mobile camp activity in British Columbia, both of which should benefit the second and third quarters of 2022," said CEO Bradley J. Dodson.
- Outlook: Civeo has raised revenue guidance to $660 million - $675 million (prior view $600.0 million - $615.0 million), versus the consensus of $610.06 million.
- It expects an adjusted EBITDA of $95 million - $102 million (prior view $90.0 million - $95.0 million).
- Price Action: CVEO shares are trading higher by 0.59% at $25.77 on the last check Friday.
