ST. ALBERT, ALBERTA--(May 23, 2007) - Mr. Leonard D.
Jaroszuk President/CEO of Enterprise Oil Limited (TSX VENTURE:EON), is
pleased to report financial results for the second quarter of fiscal year
2007, for the period ended March 31, 2007.
The Company realized its
highest ever quarterly revenue of $18,843,200 compared to revenue of
$14,323,496 for the same period in 2006 representing a 32% increase. The
Company had EBITDAS(1) of $3,720,337 while realizing a net income of
$2,117,643 or $0.08 per share (basic) for its second quarter of
operations, ended March 31, 2007 compared to EBITDAS of $3,862,095 and a
net income of $2,287,852 for the same period in 2006. Assets grew
substantially to $45,108,535 compared to $24,551,777 as reported at
September 30, 2006.
Enterprise is fully committed to its strategy
of acquiring mature and profitable businesses and achieving organic growth
through continuous investment in equipment and manpower. As a result, the
Company commenced incurring higher general and administrative expenses in
the fourth quarter ended September 2006. The increase was necessary to
develop the infrastructure and management team to complete due diligence
necessary for future acquisitions and to also meet higher corporate
governance requirements. General and administrative expenses were
$1,028,179 for the three month period ended March 31, 2007 compared to
$376,450 for the three month period ended March 31, 2006, representing an
increase of $651,729.
Enterprise Oil Limited is also looking
forward to the financial contribution of its most recent acquisition; T.C.
Backhoe & Directional Drilling Inc. The acquisition, which was effective April 1, 2007, will substantially enhance the Company's revenue
and EBITDAS throughout the year and also expand the customer base to
include Canada's largest power, telecommunications and natural gas providers. Management has also identified another potential acquisition
target and has initiated preliminary negotiations.
Enterprise Oil
Limited is an energy services company operating in the pipeline
construction industry. The Company's focus is small to medium diameter
pipeline construction, primarily on steel gathering systems up to 12" in
diameter. The Company's strategy is to acquire small to mid-size pipeline
construction and complementary service companies in central and northern
Alberta, consolidating capital, management and human resources to support
continued growth.
(1) EBITDAS equals earnings before interest,
taxes, depreciation, amortization, stock based
compensation.
Forward Looking Statements
This Company Press
Release contains certain "forward-looking" statements and information
relating to the Company that are based on the beliefs of the Company's
management as well as assumptions made by and information currently
available to the Company's management. Such statements reflect the current
risks, uncertainties and assumptions related to certain factors including,
without limitations, competitive factors, general economic conditions,
customer relations, relationships with vendors and strategic partners, the
interest rate environment, governmental regulation and supervision,
seasonality, technological change, changes in industry practices, and
one-time events. Should any one or more of these risks or uncertainties
materialize, or should any underlying assumptions prove incorrect, actual
results may vary materially from those described herein.
The TSX
Venture Exchange has not reviewed and does not accept responsibility for
the adequacy or the accuracy of this release |