Core Laboratories N.V. (CLB) Bundle
A Brief History of Core Laboratories N.V.
Core Laboratories N.V. has established itself as a leading provider of reservoir description and production enhancement services. As of 2024, the company continues to face various market dynamics while maintaining robust operational performance.
Financial Performance Overview
For the nine months ended September 30, 2024, Core Laboratories reported total revenue of $394.6 million, reflecting a 3% increase from $381.6 million in the same period of 2023.
| Revenue Components | 2024 (Nine Months) | 2023 (Nine Months) | % Change |
|---|---|---|---|
| Services | $291.7 million | $277.2 million | 5% |
| Product Sales | $102.9 million | $104.4 million | (1%) |
| Total Revenue | $394.6 million | $381.6 million | 3% |
Operating Expenses
Operating expenses for the nine months ended September 30, 2024, totaled $350.2 million, compared to $341.5 million in 2023, representing a 3% increase.
| Operating Expenses | 2024 (Nine Months) | 2023 (Nine Months) | % Change |
|---|---|---|---|
| Cost of Services | $224.2 million | $211.0 million | 6% |
| Cost of Product Sales | $90.1 million | $87.4 million | 3% |
| General and Administrative Expense | $30.7 million | $31.6 million | (3%) |
| Depreciation and Amortization | $11.3 million | $11.5 million | (2%) |
Net Income
Net income attributable to Core Laboratories for the nine months ended September 30, 2024, was $24.7 million, compared to $34.6 million for the same period in 2023, indicating a decline of 29%.
Cash Flow Analysis
Cash flows from operating activities for the nine months ended September 30, 2024, significantly improved to $35.8 million, up from $5.4 million in the prior year, marking a 567% increase.
| Cash Flow Components | 2024 (Nine Months) | 2023 (Nine Months) | % Change |
|---|---|---|---|
| Operating Activities | $35.8 million | $5.4 million | 567% |
| Investing Activities | ($2.8 million) | ($4.2 million) | (33%) |
| Financing Activities | ($26.6 million) | $0.034 million | NM |
| Net Change in Cash | $6.4 million | $1.2 million | 435% |
Debt and Liquidity Position
As of September 30, 2024, Core Laboratories maintained a debt to EBITDA ratio of 1.58:1 and a current ratio of 2.48:1, reflecting a stable liquidity position.
Recent Developments
In February 2024, Core Laboratories experienced a fire incident at one of its U.K. facilities, resulting in partial insurance settlements of $5.6 million for the nine-month period. The company has recorded costs associated with damages totaling $2.1 million.
Stock Performance
As of September 30, 2024, Core Laboratories' stock price has shown resilience despite market fluctuations, with a consistent quarterly dividend of $0.01 per share.
A Who Owns Core Laboratories N.V. (CLB)
Major Shareholders
As of 2024, the ownership structure of Core Laboratories N.V. (CLB) includes a mix of institutional investors, retail investors, and company insiders. The following table provides details on the major shareholders:
| Shareholder Type | Name | Percentage Owned |
|---|---|---|
| Institutional Investor | BlackRock, Inc. | 12.5% |
| Institutional Investor | The Vanguard Group, Inc. | 10.2% |
| Institutional Investor | Dimensional Fund Advisors LP | 8.5% |
| Institutional Investor | State Street Corporation | 7.8% |
| Insider | David D. Dunlap (CEO) | 1.2% |
| Insider | Other Executives | 0.5% |
| Retail Investors | Various | 59.3% |
Shareholder Dynamics
The shareholder composition indicates a significant presence of institutional investors, which often reflects confidence in the company's long-term strategy and performance. The largest shareholders, BlackRock and Vanguard, are known for their substantial influence on corporate governance and decision-making processes due to their large holdings.
Stock Performance and Market Capitalization
As of early 2024, Core Laboratories N.V. has seen fluctuations in its stock price, which is reflective of broader market trends in the energy sector. The company's market capitalization stands at approximately $1.1 billion, with a stock price hovering around $23 per share.
Recent Developments
Core Laboratories has undergone various strategic initiatives aimed at enhancing shareholder value. These include:
- Dividend payments of $0.03 per share in 2024.
- Share repurchase programs aimed at reducing the number of outstanding shares and boosting earnings per share.
- Investment in expanding laboratory capabilities and services to meet increasing demand in oil and gas recovery technologies.
Financial Performance Metrics
Key financial metrics for Core Laboratories N.V. as of September 30, 2024, are as follows:
| Metric | Value |
|---|---|
| Total Revenue | $394.6 million |
| Net Income | $24.7 million |
| Operating Income | $44.4 million |
| Debt to EBITDA Ratio | 1.58:1 |
| Current Ratio | 2.48:1 |
Conclusion
Core Laboratories N.V.'s ownership landscape is characterized by a solid institutional base, with significant retail investor participation. The company's strategy to enhance shareholder value through dividends and share repurchases reflects its commitment to delivering returns amidst a dynamic market environment.
Core Laboratories N.V. (CLB) Mission Statement
Overview of Mission Statement
Core Laboratories N.V. (CLB) is committed to providing high-quality reservoir optimization services and products to the global oil and gas industry. The company's mission emphasizes enhancing the recovery of oil and gas from existing fields through innovative technology and superior customer service.
Key Components of the Mission Statement
- Customer Focus: Delivering tailored solutions to meet the unique needs of clients.
- Innovation: Investing in research and development to drive technological advancements.
- Sustainability: Promoting environmentally responsible practices in reservoir management.
- Global Reach: Operating a comprehensive network of laboratories and facilities worldwide.
Financial Performance Related to Mission
Core Laboratories' financial results reflect its commitment to its mission. For the nine months ended September 30, 2024, the company reported:
| Metric | Value |
|---|---|
| Total Revenue | $394.6 million |
| Service Revenue | $291.7 million |
| Product Sales Revenue | $102.9 million |
| Operating Income | $44.4 million |
| Net Income | $24.7 million |
| Operating Margin | 11% |
Segment Performance
Core Laboratories operates through two primary segments: Reservoir Description and Production Enhancement. The following table summarizes their performance for the nine months ended September 30, 2024:
| Segment | Revenue | Operating Income | Operating Margin |
|---|---|---|---|
| Reservoir Description | $259.4 million | $34.8 million | 13% |
| Production Enhancement | $135.3 million | $9.2 million | 7% |
Recent Developments
In recent quarters, Core Laboratories has seen significant growth in its service revenue, particularly in well completion diagnostic services. The company reported a service revenue increase of 5% year-over-year for the nine months ended September 30, 2024.
Operational Efficiency Metrics
The company continues to improve operational efficiency, as illustrated by the following metrics:
| Metric | Value |
|---|---|
| Current Ratio | 2.48:1 |
| Debt to EBITDA Ratio | 1.58:1 |
| Debt to Adjusted EBITDA Ratio | 1.47:1 |
Conclusion
Core Laboratories N.V. remains focused on its mission to enhance oil and gas recovery through innovation and customer commitment, with financial results reflecting its strategic objectives and operational efficiencies.
How Core Laboratories N.V. (CLB) Works
Business Overview
Core Laboratories N.V. (CLB) operates within the oil and gas industry, providing services and products that enhance reservoir performance and increase oil and gas recovery from existing and new fields. The company is structured into two primary segments: Reservoir Description and Production Enhancement.
Financial Performance
As of September 30, 2024, Core Laboratories reported total revenue of $394.6 million, compared to $381.6 million for the same period in 2023, reflecting a year-over-year increase of 3%.
| Metric | 2024 (9 months) | 2023 (9 months) | % Change |
|---|---|---|---|
| Total Revenue | $394.6 million | $381.6 million | 3% |
| Operating Income | $44.4 million | $40.1 million | 11% |
| Net Income | $24.7 million | $34.6 million | (29%) |
| Basic Earnings per Share | $0.53 | $0.74 | (28%) |
Segment Analysis
The company’s operations are divided into two segments: Reservoir Description and Production Enhancement. The revenue and operating income for these segments are detailed below.
| Segment | Revenue (9 months 2024) | Revenue (9 months 2023) | % Change | Operating Income (9 months 2024) | Operating Income (9 months 2023) | % Change |
|---|---|---|---|---|---|---|
| Reservoir Description | $259.4 million | $248.7 million | 4% | $34.8 million | $28.8 million | 21% |
| Production Enhancement | $135.3 million | $132.9 million | 2% | $9.2 million | $10.3 million | (11%) |
Operational Highlights
For the three months ended September 30, 2024, Core Laboratories reported service revenue of $98.8 million, an increase of 6% year-over-year. Product sales revenue for the same period was $35.6 million, which represented a 10% increase year-over-year.
Cost Structure
The cost of services for the nine months ended September 30, 2024, was $224.2 million, which was an increase of 6% from the prior year. General and administrative expenses were reported at $30.7 million, a slight decrease of 3% from 2023.
| Cost Category | 2024 (9 months) | 2023 (9 months) | % Change |
|---|---|---|---|
| Cost of Services | $224.2 million | $211.0 million | 6% |
| Cost of Product Sales | $90.1 million | $87.4 million | 3% |
| General and Administrative | $30.7 million | $31.6 million | (3%) |
| Depreciation and Amortization | $11.3 million | $11.9 million | (5%) |
Liquidity and Capital Resources
As of September 30, 2024, Core Laboratories maintained a current ratio of 2.48:1 and a debt to EBITDA ratio of 1.58:1. The company has access to a secured credit facility with an aggregate borrowing commitment of $135 million, with approximately $92.1 million available as of the latest report.
| Metric | Value |
|---|---|
| Current Ratio | 2.48:1 |
| Debt to EBITDA Ratio | 1.58:1 |
| Credit Facility Availability | $92.1 million |
Cash Flow Analysis
For the nine months ended September 30, 2024, net cash provided by operating activities was $35.8 million, significantly higher than the $5.4 million reported for the same period in 2023.
| Cash Flow Category | 2024 (9 months) | 2023 (9 months) |
|---|---|---|
| Net Cash from Operating Activities | $35.8 million | $5.4 million |
| Capital Expenditures | $8.6 million | $7.8 million |
| Free Cash Flow | $27.1 million | ($2.5 million) |
Recent Developments
Core Laboratories has continued to expand its services in international markets, particularly in reservoir rock and fluid analysis, despite challenges such as geopolitical conflicts and natural disasters impacting project timelines.
How Core Laboratories N.V. (CLB) Makes Money
Revenue Segments
Core Laboratories N.V. operates primarily through two segments: Reservoir Description and Production Enhancement.
Reservoir Description
The Reservoir Description segment provides services related to reservoir rock and fluid analysis. As of September 30, 2024, the revenue from this segment was:
| Period | Revenue (in millions) | Year-over-Year Change (%) |
|---|---|---|
| Q3 2024 | $88.8 | 4% |
| 9M 2024 | $259.4 | 4% |
Factors contributing to revenue include growth in international markets, particularly in the Middle East and Asia Pacific, and demand for crude-assay analysis services. The segment's operating income for Q3 2024 was $16.5 million, with operating margins of 19%.
Production Enhancement
The Production Enhancement segment focuses on well completions and related services. For the three months ended September 30, 2024, the revenue was:
| Period | Revenue (in millions) | Year-over-Year Change (%) |
|---|---|---|
| Q3 2024 | $45.6 | 13% |
| 9M 2024 | $135.3 | 2% |
This segment experienced strong growth in well completion diagnostic services. Operating income for Q3 2024 was $3.2 million, with operating margins of 7%.
Overall Financial Performance
For the nine months ended September 30, 2024, Core Laboratories reported total revenue of $394.6 million, an increase of 3% compared to $381.6 million for the same period in 2023. The breakdown of revenue sources is as follows:
| Source | Revenue (in millions) | Percentage of Total Revenue |
|---|---|---|
| Reservoir Description | $259.4 | 66% |
| Production Enhancement | $135.3 | 34% |
The operating income for the nine months ended September 30, 2024, was $44.4 million, an increase from $40.1 million in the prior year, reflecting an overall operating margin of 11%.
Cost Structure
Core Laboratories' cost structure consists of various operational expenses. For the nine months ended September 30, 2024, the costs were as follows:
| Expense Type | Cost (in millions) | Percentage of Total Revenue |
|---|---|---|
| Cost of Services | $224.2 | 57% |
| Cost of Product Sales | $90.1 | 23% |
| General and Administrative Expenses | $30.7 | 8% |
| Depreciation and Amortization | $11.3 | 3% |
The total operating expenses were $314.3 million, resulting in an operating income of $44.4 million.
Cash Flow and Liquidity
Core Laboratories reported net cash provided by operating activities of $35.8 million for the nine months ended September 30, 2024, a significant increase from $5.4 million in the prior year. Capital expenditures during this period were $8.6 million.
Debt and Financial Ratios
As of September 30, 2024, Core Laboratories had the following debt metrics:
| Metric | Value |
|---|---|
| Debt to EBITDA Ratio | 1.58:1 |
| Current Ratio | 2.48:1 |
These ratios indicate a stable financial position with a strong liquidity profile.
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Article updated on 8 Nov 2024
Resources:
- Core Laboratories N.V. (CLB) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Core Laboratories N.V. (CLB)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Core Laboratories N.V. (CLB)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.