March 19, 2012 / 3:18 PM / 6 years ago

Gasfrac shares fall after disappointing results

March 19 (Reuters) - Canada’s Gasfrac Energy Services Inc’s shares fell as much as 13 percent, after the company’s fourth-quarter results failed to meet analysts’ expectations.

For the October-December quarter, the company’s profit fell to C$1.5 million from C$2 million a year ago. Per-share profit remained flat at 3 Canadian cents, the company said on Friday.

Quarterly revenue rose 44 percent to C$59.3 million.

Analysts, on average, had expected adjusted earnings of 8 Canadian cents per share on a revenue of C$74.2 million, according to Thomson Reuters I/B/E/S.

“They missed consensus by quite a bit, and that’s because they had some operational delays on the Husky contract in Canada, and that reduced their overall realization rate,” analyst Jason Sawatzky of Altacorp Capital said.

Late in September, Gasfrac signed a long-term agreement with Husky Energy Inc for pad fracturing, and during the quarter the operations “were partially limited due to (issues with) third party contractor capacity,” Gasfrac said in a statement.

Shares of Gasfrac were trading down about 10 percent at C$6.93 on Monday on the Toronto Stock Exchange. (Reporting by Shounak Dasgupta in Bangalore; Editing by Sreejiraj Eluvangal)

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