Oilfield services provider Core Laboratories N.V. (CLB) announced an updated guidance for the first quarter of 2010. The company now expects to earn $1.35 – $1.38 per share during the three-month period ended Mar 31. Core Labs previously targeted a range of $1.20 to $1.25.
 
The improved forecast points to a stronger-than-expected performance across Core’s business units, particularly in its Production Enhancement and Reservoir Management segments.  
 
Revenue is expected to be approximately $185 million, revised upward from the company’s prior guidance of approximately $180 million, provided while presenting the fourth quarter 2009 results in February. First quarter net income, Core said, would be between $31.65 million and $32.35 million. The company also informed that it repurchased about 703,902 shares during the period.
 
Core Labs is scheduled to release first quarter results on Apr 28. The Zacks Consensus Estimate is a profit of $1.38 per share and $183 million in revenue.
 
For the second quarter, management guided towards revenue of $185 – $190 million, while earnings per share are likely to be between $1.39 and $1.44. Core Labs said that it will experience a seasonable slowdown in Canada and sluggish natural gas drilling / completion activities in North American during the period.
 
We expect second quarter earnings of $1.42 per share on sales of $189 million.
 
Amsterdam, Netherlands-based Core Labs is an oilfield services firm that provides reservoir management and production enhancement services to the oil and gas industry on a global basis. The company operates in over 50 countries and divides its operations in three principal business lines: Reservoir Description, Product Enhancement, and Reservoir Management.
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