Pason's profit rises; cuts capex on weak drilling in N. America
(Reuters) - Oilfield services provider Pason Systems Inc's (PSI.TO: Quote) profit rose modestly on higher drilling in the second quarter, but the company cut its capital expenditure for the next 12 months as it expects North American drilling to slow down.
The company, which provides data management systems to oil rigs, estimated a capital budget of C$82.7 million ($82.4 million).
Net profit rose to C$8.5 million, or 10 Canadian cents per share, for the second quarter from C$8.2 million, or 9 Canadian cents per share, a year earlier.
Revenue rose 30 percent to C$81.1 million.
The company paid C$5.4 million related to a patent lawsuit.
Pason, which has operations in the United States, South America and Australia, lost a multi-year contract with a U.S-drilling contractor in June.
Shares of the Calgary-based company, which has a market value of C$1.18 billion, closed at C$14.36 on Thursday on the Toronto Stock Exchange.
(Reporting By Krithika Krishnamurthy in Bangalore; Editing by Don Sebastian)
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