Core Laboratories NV reported unaudited consolidated earnings results for the first quarter ended March 31, 2013. For the quarter, the company’s revenue was $260,927,000 against $234,191,000 for the same period in the last year. Operating income was $79,037,000 against $73,906,000 for the same period in the last year. Income before income tax expense was $76,768,000 against $71,716,000 for the same period in the last year. Net income was $56,732,000 against $53,930,000 for the same period in the last year. Net income attributable to shareholders was $56,516,000 against $53,951,000 for the same period in the last year. Diluted earnings per share were $1.22 against $1.13 for the same period in the last year. Cash flows from operating activities were $68,258,000. Free cash flow was $59,815,000. Capital expenditures were $8,443,000. The company posted its most profitable quarter with record results driven by worldwide deepwater hydrocarbon developments. The company's improved year-over-year and sequential quarterly results reflect its continued focus on international crude-oil developments, especially those in deepwater, unconventional tight oil plays in North America and evaluation of several high potential international unconventional crude oil and natural gas opportunities. Production Enhancement revenues of $107 million set a new quarterly record for revenues, growing 11% over first quarter of 2012. Operating earnings of $134 million were also a new record and grew 15% over first quarter of 2012. For the second quarter, the company expects that the revenue of approximately $264,000,000 to $269,000,000, after taking into account seasonal effects, and EPS in the $1.29 to $1.36 range. For the full year, the company expects the revenue to range between $1,060,000,000 and $1,075,000,000 with operating margins averaging approximately 31% and incremental margins ranging from 35% to 45% for the full year of 2013. This operations guidance excludes any foreign currency translations, and a 25% effective tax rate is assumed for the year. This would increase the midpoint EPS range to between $5.06 and $5.26 and the midpoint to $5.16. The midpoint of revenue guidance suggests revenue growth of approximately 9%, up to 10%. EPS guidance suggests earnings growth will be higher than previously guided and is now expected to be approximately 14% in a range up to 16% over full-year 2012 levels. Free cash flow expected to be in the range from $230,000,000 to $240,000,000 and with the company's client-directed capital expenditures program to be equal to, or slightly greater than, that of 2012. The company expected its revenue to grow at a rate faster than its anticipated change in worldwide industry activity by approximately 200 to 400 basis points. The company expects CapEx program in 2013 to be approximately $33 million as a result of an expected continued improvement in industry activity, particularly internationally, and in the deepwater environment. The company expects depreciation in 2013 to total approximately $24 million. The company believes that it will continue to work increasingly in more established fields, as well as new developments in field projects. In addition, as the company has consistently done in the past decade, it will plan to enter into new fields where it has currently do not have operations, and to offer new technologies and additional services in 2013. These new technologies and services will be focused on increasing daily production and ultimate hydrocarbon recovery rates from deepwater fields and liquids-related unconventional reservoir developments worldwide.

The Board of Supervisory Directors of Core Laboratories N.V. has announced a cash dividend of $0.32 per share of common stock payable in the second quarter of 2013. On an annualized basis, this quarterly dividend would equal a total payout of $1.28 per share of common stock, if maintained for the entire year. The quarterly $0.32 per share cash dividend will be payable on 24 May 2013 to shareholders of record on 26 April 2013.

Core Laboratories NV, Q1 2013 Earnings Call, Apr 18, 2013