CWC received covenant relief with the release of its 3Q15 financials which is positive. We expect the Company to stay in compliance with its covenants through the duration of our forecast. However, CWC has suspended its dividend to conserve cash. We have modestly reduced our estimates in 2015e and 2016e, with higher well servicing activity partially offsetting lower drilling activity. We are now forecasting 2016e EBITDAS of $11 mm (prior: $12 mm).
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CWC Energy Services Corp. (CWC) 3Q15 Update
- Published:
01 Dec 2015 -
Author:
Ian B. Gillies -
Pages:
5
CWC received covenant relief with the release of its 3Q15 financials which is positive. We expect the Company to stay in compliance with its covenants through the duration of our forecast. However, CWC has suspended its dividend to conserve cash. We have modestly reduced our estimates in 2015e and 2016e, with higher well servicing activity partially offsetting lower drilling activity. We are now forecasting 2016e EBITDAS of $11 mm (prior: $12 mm).