Plains Capital Bank Phone Number Lubbock

Dawson Geophysical Reports Fiscal Fourth Quarter And Year-End Results 2012.

Company Reports Sixth Consecutive Quarter of Profitability And
Executes First Contract for the Deployment of Data Acquisition Crew in

Canada
 , independent nation (2001 pop. 30,007,094), 3,851,787 sq mi (9,976,128 sq km), N North America. Canada occupies all of North America N of the United States (and E of Alaska) except for Greenland and the French islands of
 

MIDLAND, Texas

, Nov. 14, 2012 /PRNewswire/ —
Dawson
 or  city (1991 pop. 972), W Yukon Territory, Canada, at the confluence of the Yukon and Klondike rivers. It is the trade center of the Klondike mining region and a tourist center.
 
Geophysical
  
n. (used with a sing. verb)
The physics of the earth and its environment, including the physics of fields such as meteorology, oceanography, and seismology.
 Company (
NASDAQ

:
DWSN

) today reported fourth quarter and year-end
results for fiscal 2012.

Fiscal 2012 Highlights

*
EBITDA

 for the year-ended
September
 see month.
 30, 2012 increased to
$49,615,000 compared to $27,861,000 for the same period of fiscal 2011,
an increase of 78 percent;

* Net income for the year-ended September 30, 2012 increased to
$11,113,000, or $1.42 earnings per share, compared to a net loss of
$3,246,000, or $0.42 loss per share, in fiscal 2011;

* Reported revenues of $319,274,000 for the year-ended September 30,
2012 compared to $333,279,000 for the year-ended September 30, 2011;

* Revenues net of third-party
reimbursable
  
tr.v. re·im·bursed, re·im·burs·ing, re·im·burs·es
1. To repay (money spent); refund.

2. To pay back or compensate (another party) for money spent or losses incurred.
 charges increased 13
percent in fiscal 2012 from fiscal 2011;

* Strengthened order book capable of sustaining fourteen data
acquisition crews well into calendar 2013;

* Fiscal 2012 capital expenditures of approximately $47,664,000
compared to $59,380,000 in fiscal 2011;

* Purchased 10,500
single-channel

 Geospace
GSR

 units, 3,000 GSR
three-channel units with three component geophones and 19 INOVA
vibrator
 /vi·bra·tor/ () an instrument for producing vibrations.


vibrator

an apparatus used in vibratory treatment.
 energy source units to increase recording capacity and improve
efficiency;

* Balanced portfolio of projects in the Eagle Ford Shale,
Niobrara
 , river, c.430 mi (690 km) long, rising in the High Plains, E Wyo., and flowing E across N Nebraska to the Missouri River on Nebraska’s northeast border.
 Shale, Bakken Shale,
Marcellus
 , principal plebeian family of the ancient Roman gens Claudia.

Marcus Claudius Marcellus, c.268–208 B.C., was consul five times.
 Shale,
Permian Basin

 and
Mississippi
 , one of the Deep South states of the United States. It is bordered by Alabama (E), the Gulf of Mexico (S), Arkansas and Louisiana, with most of the border formed by
 Lime;

* Approximately $78 million of working capital at September 30,
2012; and

* Awarded first contract in Canada for the deployment of the
Company’s first
Canadian
 , river, 906 mi (1,458 km) long, rising in NE New Mexico. and flowing E across N Texas and central Oklahoma into the Arkansas River in E Oklahoma.
 data acquisition crew during the 2012-2013
winter season.

The Company reported revenues of $72,998,000 for the quarter-ended
September 30, 2012, the Company’s fourth quarter of fiscal 2012,
compared to $84,256,000 for the same quarter in fiscal 2011. The Company
reported net income for the fourth quarter of fiscal 2012 of $1,152,000,
or $0.15 per share, compared to $2,944,000, or $0.38 per share, in the
same quarter of fiscal 2011. EBITDA for the fourth quarter of fiscal
2012 was $10,630,000 compared to $12,955,000 in the same quarter of
fiscal 2011.

For the fiscal year-ended September 30, 2012, the Company reported
revenues of $319,274,000 compared to $333,279,000 for the year-ended
fiscal 2011. Net income for fiscal 2012 increased to $11,113,000 from a
net loss of $3,246,000 in fiscal 2011. Earnings per share for fiscal
2012 were $1.42 compared to a loss per share of $0.42 for fiscal 2011.
EBITDA for fiscal 2012 increased to $49,615,000 compared to $27,861,000
in the same period of fiscal 2011, an increase of 78 percent.

Revenues for the year-ended September 30, 2012 decreased over the
same period of fiscal 2011 primarily as a result of a significant
reduction in third-party reimbursable charges as a percentage of
revenue. Third-party charges, which are included in revenues, continued
to decline as a percentage of revenues during the third and fourth
fiscal quarters of 2012 to a level more consistent with the
Company’s historical average for such charges. These third-party
charges are related to the Company’s use of helicopter
support
services

 Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services
,
specialized
  
v. spe·cial·ized, spe·cial·iz·ing, spe·cial·iz·es

v.intr.
1. To pursue a special activity, occupation, or field of study.

2.
 survey technologies and
dynamite
 explosive made from nitroglycerin and an inert, porous filler such as wood pulp, sawdust, kieselguhr, or some other absorbent material. The proportions vary in different kinds of dynamite; often ammonium nitrate or sodium nitrate is added.
 energy sources in
areas of limited access. The Company is reimbursed for these expenses by
its clients. The decline in third-party charges is primarily a result of
the Company’s movement of operations toward the more open terrain
of the
western United States

. Third-party charges in fiscal 2012
decreased 29 percent from fiscal 2011 and revenue net of third-party
charges for fiscal 2012 increased 13 percent from fiscal 2011.

Revenues for the fiscal 2012 fourth quarter decreased over the same
period of fiscal 2011 primarily as a result of lower utilization rates
during the first half of the 2012 fourth fiscal quarter, crew moves as a
result of the completion of several projects late in the fourth fiscal
quarter of 2012 and the continued reduction of third-party reimbursable
charges as a percentage of revenue. Third-party charges in the fourth
quarter of fiscal 2012 decreased 12 percent from the same period in 2011
and revenues net of third-party charges decreased 14 percent over the
same period in fiscal 2011.

As anticipated in the Company’s second and third fiscal quarter
earnings press releases, the Company experienced lower utilization rates
during the third and fourth fiscal quarters of 2012 as crews were
affected by project preparation, weather delays, agricultural activity,
land access permit issues and client delays. Utilization rates were also
affected by increasing crew efficiencies driven by improved processes
and recent equipment purchases. In several instances during the second
and third fiscal quarters of 2012, the Company’s data acquisition
crews completed projects ahead of schedule and were idled as additional
projects were in
preparatory
  
adj.
1. Serving to make ready or prepare; introductory. See Synonyms at preliminary.

2. Relating to or engaged in study or training that serves as preparation for advanced education:
 and/or permitting phases. While these early
project completions have a negative impact on utilization, the Company
believes that these increased crew efficiencies may enable the Company
to increase its overall capacity, especially as the Company’s order
book continues to grow in both variety and scope. Approximately one-half
of the Company’s fourteen crews were impacted by the factors
described above for approximately one-half of each of the last two
fiscal quarters of 2012. The Company returned to full utilization during
the second half of the fourth fiscal quarter, and such full utilization
has continued into the first fiscal quarter of 2013. Currently the
Company has all of its fourteen crews actively deployed.

Transaction costs related to a terminated merger agreement of
$1,444,000 and $3,866,000, respectively, were included in fourth fiscal
quarter and year-end 2011 results. Included in the Company’s fiscal
2012 results is a $0.18 per share one-time tax benefit, taken in the
first fiscal quarter of 2012, related to the same terminated merger
agreement. Reflected in the fourth fiscal quarter and year-end of 2012
results were increases in depreciation expense of $637,000 and
$1,962,000, respectively, from the prior year periods. The increase in
depreciation expenses was related to the Company’s investment in
additional recording equipment and energy source units over the past 24
months. Operating and General and Administrative expenses increased
during the fourth fiscal quarter of 2012 from the third fiscal quarter
of 2012, primarily as the result of the Company returning to full
utilization during the quarter and costs associated with the Canadian
entity start up.

Stephen
 1097?–1154, king of England (1135–54). The son of Stephen, count of Blois and Chartres, and Adela, daughter of William I of England, he was brought up by his uncle, Henry I of England, who presented him with estates in England and France and
 
Jumper

, President and
CEO

 of Dawson Geophysical Company
said, “Increasing demand for services fueled our first profitable
year since fiscal 2009. Requests for seismic services approached
multi-year highs in fiscal 2012. As a result, both Net Income and EBITDA
for the year increased significantly despite decreased revenue from the
prior year. We believe that the decrease in 2012 revenue is not a
reflection of decreasing geophysical demand, but rather, a product of
both lower third-party charges as a percentage of revenue and the
reduction in utilization experienced during the second half of the
fiscal year. Our Company is beginning to realize improved results and
returns on the investments made in fiscal 2011 and 2012 as our business
continues to gain momentum into 2013. Our increased efficiencies and
crew productivity have us well positioned to capture more
upside

 as
market conditions continue to improve.”

Jumper continued, “While our results in both the third and
fourth quarter were negatively impacted by
circumstances

 from May
through mid-August, we believe we have resolved those issues. We are now
at full utilization and operating at our highest level in many years as
we begin fiscal 2013. We are pleased to report that several of the
previously delayed fiscal 2012 projects are now underway.”

Market conditions continue to provide more
favorable
  
adj.
1. Advantageous; helpful:

2. Encouraging; propitious:

3.
 contract terms
as the Company’s order book remains at its highest level since late
fiscal 2008, and continues to strengthen in terms of client mix, project
size, and geographic diversity. The order book contains projects
primarily in oil and liquids-rich basins such as the Bakken, Niobrara,
Mississippi Lime, Permian, Eagleford and Marcellus Shale areas. In
addition, the Company’s wholly-owned subsidiary, Dawson Seismic
Services
ULC
 Left Center
ULC Universal Life Church
ULC Underwriters’ Laboratories of Canada
ULC Ultra Light Client
ULC Ultra Low Cost
ULC Urban Libraries Council
, has been awarded its first multi-component project in
Canada. The Company anticipates operating one crew in Canada this winter
season. Although clients may cancel, modify or delay their contracts on
short notice, the Company’s order book reflects commitments
sufficient to maintain full operation of fourteen crews well into
calendar 2013. As always, the Company remains subject to delays related
to weather, securing land access permits and other factors, which can
affect operating results from quarter to quarter.

Jumper added, “Strong off the heels of our success in the lower
48, I am happy to report that we have executed our first contract in
Canada. Demand remains robust in the lower 48. We believe we will be
awarded a large multi-crew project anticipated to begin the second
quarter of calendar 2013 and recently have entered into two term
agreements, one of which is for multiple crews in various basins
effective through mid-calendar 2014. We are currently negotiating
potential term contracts with a large independent and a major E&P
company. We believe we will continue to see steady levels of demand
during fiscal 2013 as our clients seek to obtain higher resolution

subsurface
  
adj.
Of, relating to, or situated in an area beneath a surface, especially the surface of the earth or of a body of water.

Adj. 1.
 images, particularly in a time of increased pressure on
drilling budgets. We are well positioned with technology, capacity and
efficiency to serve our broadening client base effectively.”

Capital expenditures for fiscal 2012 totaled $47,664,000 as compared
to $59,380,000 in fiscal 2011 and $19,962,000 in fiscal 2010. The
expenditures in fiscal 2012 included 10,500 GSR single-channel units,
3,000 GSR three-channel units, nineteen INOVA vibrator energy source
units, additional geophones, cables and vehicles, along with maintenance

capital requirements

. The Company anticipates a capital budget in fiscal
2013 of approximately $40,000,000, which includes purchases of
additional cable-less recording equipment and energy source units,
Canadian operation capital requirements and maintenance capital
requirements.

Jumper said, “New equipment purchases have been a big part of
our financial and operational success in 2012, and we believe these
expenditures will continue to generate increasing returns going forward.
We have invested approximately $126,000,000 since the beginning of
fiscal 2010 in new, state-of-the-art recording and sourcing equipment,
while generating approximately $89,000,000 of EBITBA over the same
period, $49,000,000 of which was generated in fiscal 2012. Our
investments in maintenance and new equipment competitively position us
to capture continued improvement in efficiency, and with it, improving
results and returns on those investments.”

The Company’s balance sheet remains strong with approximately
$78,000,000 of working capital, $20,310,000 of debt, approximately
$61,000,000 of cash and cash equivalents and short-term investments, and
approximately $105,000,000 of
retained earnings

. In addition, the
Company has $20,000,000 available under its undrawn
revolving line of
credit

.

Jumper concluded, “As we close fiscal 2012, we hear discussion
regarding the decrease in horizontal rig count and whether the decrease
will negatively affect seismic data acquisition activity. In light of
this discussion, we note an interesting fact. As of October 26, 2012,
there were approximately 1,105 horizontal rigs operating in the lower
48. At the peak of 2008, however, during our most successful year in the
lower 48, there were approximately 600 horizontal rigs operating in the
lower 48. From this data, we can
extrapolate

 that horizontal rig count,
while an important component of seismic activity, is not the only
component of seismic activity or our success. As drilling decisions have
become more critical to our clients, we believe the need for high
resolution subsurface images may continue to fuel demand for our
services for the
foreseeable
  
tr.v. fore·saw , fore·seen , fore·see·ing, fore·sees
To see or know beforehand:
 future, even if there are moderate swings
in the horizontal rig count.”

Conference Call Information

Dawson will host a conference call to review its fiscal year-end and
fourth quarter 2012 financial results on November 14, 2012, at 9 a.m.

CST

abbr.
1. Central Standard Time

2. convulsive shock treatment


 Central Standard Time

Noun 1.
. Participants can access the call at (877) 317-6789 (US/Canada) or
(412) 317-6789 (International). To access the live audio webcast or the
subsequent archived recording, visit the Dawson website at
www.dawson3d.com. Callers can access the telephone replay through
Monday, November 19, 2012 by dialing (877) 344-7529 (US/Canada) or (412)
317-0088 (International). The passcode is 10021219. The webcast will be
recorded and available for replay on Dawson’s website until
December 14, 2012.

About Dawson

Dawson Geophysical Company is a leading provider of U.S.
onshore
  
adj.
1. Moving or directed toward the shore:

2. Located on the shore:

adv.
 seismic data acquisition services in the lower 48 states of the
United
States

 officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world’s third largest country in population and the fourth largest country in area.
. Founded in 1952, Dawson acquires and processes 2-D, 3-D and
multi-component seismic data solely for its clients, ranging from major
oil and gas companies to independent oil and gas operators, as well as
providers of multi-client data libraries.

Non-GAAP Financial Measures

This press release contains information about the Company’s
EBITDA, a non-GAAP financial measure as defined by Regulation G

promulgated
  
tr.v. prom·ul·gat·ed, prom·ul·gat·ing, prom·ul·gates
1. To make known (a decree, for example) by public declaration; announce officially. See Synonyms at announce.

2.
 by the U.S. Securities and Exchange Commission. The Company
defines EBITDA as net income (loss) plus interest expense, interest
income, income taxes, depreciation and amortization expense. The Company
uses EBITDA as a supplemental financial measure to assess:

* the financial performance of its assets without regard to
financing methods, capital structures, taxes or historical cost
basis;

* its liquidity and operating performance over time in relation to
other companies that own similar assets and that the Company believes
calculate EBITDA in a similar manner; and

* the ability of the Company’s assets to generate cash
sufficient for the Company to pay potential interest costs.

The Company also understands that such data are used by investors to
assess the Company’s performance. However, the term EBITDA is not
defined under
generally accepted accounting principles

, and EBITDA is
not a measure of
operating income

, operating performance or liquidity
presented in
accordance

 with generally accepted accounting principles.
When assessing the Company’s operating performance or liquidity,
investors and others should not consider this data in isolation or as a
substitute for net income (loss), cash flow from operating activities or
other cash flow data calculated in accordance with generally accepted
accounting principles. In addition, the Company’s EBITDA may not be
comparable to EBITDA or similar titled measures utilized by other
companies since such other companies may not calculate EBITDA in the
same manner as the Company. Further, the results presented by EBITDA
cannot be achieved without
incurring
  
tr.v. in·curred, in·cur·ring, in·curs
1. To acquire or come into (something usually undesirable); sustain:

2.
 the costs that the measure
excludes: interest, taxes, depreciation and amortization. A
reconciliation of the Company’s EBITDA to its net (loss) income is
presented in the table following the text of this press release.

In accordance with the
Safe Harbor

 provisions of the
Private
Securities Litigation Reform Act

 of 1995, Dawson Geophysical Company
cautions that statements in this press release which are forward-looking
and which provide other than historical information involve risks and
uncertainties that may materially affect the Company’s actual
results of operations. These risks include but are not limited to, the
volatility of oil and natural gas prices, disruptions in the global
economy, dependence upon energy industry spending, limited number of
customers, credit risk related to our customers, cancellations of
service contracts, high
fixed costs

n.pl the costs that do not change to meet fluctuations in enrollment or in use of services (e.g., salaries, rent, business license fees, and depreciation).
 of operations, weather
interruptions, inability to obtain land access rights of way, industry
competition, managing growth, the availability of capital resources and
operational disruptions. A discussion of these and other factors,
including risks and uncertainties, is set forth in the Company’s
Form 10-K for the fiscal year-ended September 30, 2011. Dawson
Geophysical Company disclaims any intention or obligation to revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.

SOURCE Dawson Geophysical Company