-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Ji2vLmSkISdUwrLfUjurjv+DNPmRScZtdQ1GM725+8oh+H29kkv00kAo9X6v8OdS TkedqQyiz9QLhkmRcouSrQ== 0000950134-04-001019.txt : 20040203 0000950134-04-001019.hdr.sgml : 20040203 20040203070458 ACCESSION NUMBER: 0000950134-04-001019 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20040203 ITEM INFORMATION: FILED AS OF DATE: 20040203 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PARKER DRILLING CO /DE/ CENTRAL INDEX KEY: 0000076321 STANDARD INDUSTRIAL CLASSIFICATION: DRILLING OIL & GAS WELLS [1381] IRS NUMBER: 730618660 STATE OF INCORPORATION: DE FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-07573 FILM NUMBER: 04560895 BUSINESS ADDRESS: STREET 1: 1401 ENCLAVE PARKWAY STREET 2: SUITE 600 CITY: HOUSTON STATE: TX ZIP: 77077 BUSINESS PHONE: 2814062000 MAIL ADDRESS: STREET 1: 1401 ENCLAVE PARKWAY STREET 2: SUITE 600 CITY: HOUSTON STATE: TX ZIP: 77077 8-K 1 h12328e8vk.txt PARKER DRILLING COMPANY UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of earliest event reported): February 3, 2004 PARKER DRILLING COMPANY (Exact Name of Registrant as Specified in Charter) Delaware 1-7573 73-0618660 -------- ------ ---------- (State of Incorporation) (Commission File Number) (IRS Employer Identification No.)
1401 Enclave Parkway, Suite 600, Houston, Texas 77077 (Address of Principal Executive Offices) (Zip Code) Registrant's telephone number, including area code: (281) 406-2000 (Not Applicable) (Former Name or Former Address, If Changed Since Last Report) ITEM 12. RESULTS OF OPERATIONS AND FINANCIAL CONDITION. On February 3, 2004, the Registrant issued its press release announcing fourth quarter 2003 earnings and results of operations. A copy of this press release is attached as Exhibit 99 to this Report on Form 8-K. This information is being furnished pursuant to Item 12 of Form 8-K and shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section thereof, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in any such filing. SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Date: February 3, 2004 PARKER DRILLING COMPANY By: /s/ Robert L. Parker Jr. ----------------------------------------- Robert L. Parker Jr. President and Chief Executive Officer Exhibit Index - ------------- Exhibit No. Description ----------- ----------- 99 Press Release dated February 3, 2004, issued by the Registrant, announcing the fourth quarter 2003 earnings and results of operations. EX-99 3 h12328exv99.txt PRESS RELEASE DATED FEBRUARY 3, 2004 IMMEDIATE RELEASE Investor Contact: David Tucker 281-406-2370 February 3, 2004 PARKER DRILLING REPORTS FOURTH QUARTER RESULTS HOUSTON - For the quarter ended December 31, 2003, Parker Drilling Company (NYSE: PKD) today reported revenues of $84.9 million and a net loss of $12.4 million, or $0.13 per share, compared to a net loss of $10.3 million or $0.11 per share on revenues of $85.7 million for the fourth quarter of 2002. The loss from continuing operations for the fourth quarter of 2003 was $16.8 million or $0.18 per share compared to a loss from continuing operations of $5.6 million or $0.06 per share for the fourth quarter of 2002. Charges during the fourth quarter of 2003 of $6.0 million for provision for writedown in carrying value of certain assets, $5.3 million for extinguishment of debt and a gain on disposition of assets of $2.6 million resulted in a loss of $8.7 million. Excluding these charges the loss from continuing operations was $8.1 million or $0.09 per share and within the previously announced guidance of a loss of $0.09 - $0.11 per share. For the year ended December 31, 2003, Parker Drilling reported revenues of $313.8 million and a net loss of $109.7 million, or $1.17 per share, which includes a $54.0 million or $0.58 per share impairment for assets held for sale related to discontinued operations. For the year ended December 31, 2002, Parker Drilling reported revenues of $342.8 million and a net loss of $114.1 million, or $1.23 per share, which included a goodwill impairment provision of $73.1 million, or $0.79 per share. The loss from continuing operations for the year ended December 31, 2003 was $51.8 million or $0.55 per share compared to a loss from continuing operations of $15.3 million or $0.16 per share for the year ended December 31, 2002. Fourth quarter average utilization of international land rigs for continuing operations increased to 36 percent from 34 percent during the third quarter. However, the current utilization has increased to 45 percent. Average utilization of Parker Drilling's Gulf of Mexico barge rigs increased during the fourth quarter of 2003 to 53 percent compared to an average utilization of 40 percent in the third quarter of 2003. The current utilization has increased to 67 percent for the Gulf of Mexico barge rigs, with all nine of the Company's deep barges under contract. Capital expenditures for the year ended December 31, 2003, were $35.0 million. Total debt was $571.6 million at December 31, 2003, and the company's cash balance was $67.8 million. Parker Drilling reaffirms its previously released guidance of a diluted loss per share of $0.10 to $0.20 from continuing operations for 2004. Parker has scheduled a conference call at 10 a.m. CST (11 a.m. EST) Feb. 3, 2004 to discuss fourth quarter 2003 results. Those interested in participating in the call may dial in at (303) 262-2140. The conference call replay can be accessed from noon CST February 3, 2004 until 11:59 p.m. CST February 10, 2004, by dialing (303) 590-3000 and using the access code 566427#. Alternatively, the call can be accessed live through the Parker Web site at http://www.parkerdrilling.com. The archived call will be available on the Web for 12 months. This release contains certain statements that may be deemed to be "forward-looking statements" within the meaning of the Securities Acts. All statements, other than statements of historical facts, that address activities, events or developments that the company expects, projects, believes or anticipates will or may occur in the future, the outlook for rig utilization and dayrates, general industry conditions including bidding activity, future operating results of the company's rigs and rental tool operations, capital expenditures, expansion and growth opportunities, asset sales and other such matters, are forward-looking statements. Although the company believes that its expectations stated in this release are based on reasonable assumptions, actual results may differ from those expressed or implied in the forward-looking statements. For a more detailed discussion of risk factors, please refer to the company's reports filed with the SEC, and in particular, the report on Form 10-K for the year ended December 31, 2002. Each forward-looking statement speaks only as of the date of this release, and the company undertakes no obligation to publicly update or revise any forward-looking statement. -30- PARKER DRILLING COMPANY AND SUBSIDIARIES Consolidated Condensed Statement of Operations (Unaudited)
Three Months Ended Twelve Months Ended December 31, December 31, --------------------------- --------------------------- 2003 2002 2003 2002 ----------- ----------- ----------- ----------- (Dollars in Thousands) DRILLING AND RENTAL REVENUES U.S. Drilling $ 17,856 $ 21,635 $ 67,449 $ 78,330 International Drilling 52,805 53,783 191,698 216,991 Rental Tools 14,271 10,304 54,637 47,510 ----------- ----------- ----------- ----------- TOTAL DRILLING AND RENTAL REVENUES 84,932 85,722 313,784 342,831 ----------- ----------- ----------- ----------- DRILLING AND RENTAL OPERATING EXPENSES U.S. Drilling 10,274 12,967 47,740 52,475 International Drilling 35,794 33,689 132,014 142,749 Rental Tools 6,183 5,160 23,051 21,810 Depreciation and Amortization 17,099 17,714 68,890 67,954 ----------- ----------- ----------- ----------- TOTAL DRILLING AND RENTAL OPERATING EXPENSES 69,350 69,530 271,695 284,988 ----------- ----------- ----------- ----------- DRILLING AND RENTAL OPERATING INCOME 15,582 16,192 42,089 57,843 ----------- ----------- ----------- ----------- Construction Contract Revenue -- 4,870 7,030 86,818 Construction Contract Expense -- 4,432 5,030 84,356 ----------- ----------- ----------- ----------- NET CONSTRUCTION CONTRACT OPERATING INCOME -- 438 2,000 2,462 ----------- ----------- ----------- ----------- General and Administrative Expense 4,771 6,145 19,256 24,728 Provision for Reduction in Carrying Value of Certain Assets 6,028 -- 6,028 1,140 Gain on Disposition of Assets, Net 2,594 216 3,557 2,997 ----------- ----------- ----------- ----------- TOTAL OPERATING INCOME 7,377 10,701 22,362 37,434 ----------- ----------- ----------- ----------- OTHER INCOME AND (EXPENSE) Interest Expense (13,889) (14,000) (53,790) (52,409) Extinguishment of Debt (5,274) -- (5,274) -- Other Income (Expense) - Net (6) 923 1,636 (3,140) ----------- ----------- ----------- ----------- TOTAL OTHER INCOME AND (EXPENSE) (19,169) (13,077) (57,428) (55,549) ----------- ----------- ----------- ----------- LOSS BEFORE INCOME TAXES (11,792) (2,376) (35,066) (18,115) ----------- ----------- ----------- ----------- INCOME TAX EXPENSE (BENEFIT) Current 5,057 6,682 16,703 14,284 Deferred -- (3,420) -- (17,120) ----------- ----------- ----------- ----------- TOTAL INCOME TAX EXPENSE (BENEFIT) 5,057 3,262 16,703 (2,836) ----------- ----------- ----------- ----------- LOSS FROM CONTINUING OPERATIONS (16,849) (5,638) (51,769) (15,279) Discontinued Operations, Net of Taxes 4,415 (4,694) (57,930) (25,631) Cumulative Effect of Change in Accounting Principle -- -- -- (73,144) ----------- ----------- ----------- ----------- NET LOSS $ (12,434) $ (10,332) $ (109,699) $ (114,054) =========== =========== =========== =========== LOSS PER SHARE - BASIC AND DILUTED Loss From Continuing Operations $ (0.18) $ (0.06) $ (0.55) $ (0.16) Discontinued Operations, Net of Taxes $ 0.05 $ (0.05) $ (0.62) $ (0.28) Cumulative Effect of Change in Accounting Principle $ -- $ -- $ -- $ (0.79) Net Loss $ (0.13) $ (0.11) $ (1.17) $ (1.23) AVERAGE COMMON SHARES OUTSTANDING Basic and Diluted 94,079,159 92,679,141 93,420,713 92,444,773
PARKER DRILLING COMPANY AND SUBSIDIARIES Consolidated Condensed Balance Sheets (Unaudited)
December 31, 2003 December 31, 2002 ----------------- ----------------- ASSETS (Dollars in Thousands) CURRENT ASSETS Cash and Cash Equivalents $ 67,765 $ 51,982 Accounts and Notes Receivable, Net 89,050 89,363 Rig Materials and Supplies 13,627 17,161 Other Current Assets 2,466 8,631 -------- -------- TOTAL CURRENT ASSETS 172,908 167,137 -------- -------- PROPERTY, PLANT AND EQUIPMENT, NET 387,664 641,278 ASSETS HELD FOR SALE 150,370 896 OTHER ASSETS Goodwill 114,398 115,983 Other Assets 22,292 28,031 -------- -------- TOTAL OTHER ASSETS 136,690 144,014 -------- -------- TOTAL ASSETS $847,632 $953,325 ======== ======== LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES Current Portion of Long-Term Debt $ 60,225 $ 6,486 Accounts Payable and Accrued Liabilities 68,404 55,089 -------- -------- TOTAL CURRENT LIABILITIES 128,629 61,575 -------- -------- LONG-TERM DEBT 511,400 583,444 DISCONTINUED OPERATIONS 6,421 -- OTHER LIABILITIES 8,379 7,680 STOCKHOLDERS' EQUITY 192,803 300,626 -------- -------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $847,632 $953,325 ======== ======== Current Ratio 1.34 2.71 Total Long Term Debt as a % of capitalization 73% 66% Book Value per common share $ 2.05 $ 3.24
PARKER DRILLING COMPANY AND SUBSIDIARIES Selected Financial Data (Unaudited)
Three Months Ended ---------------------------------------------- December 31, September 30, -------------------------- ------------- 2003 2002 2003 -------- -------- ------------- (Dollars in Thousands) DRILLING AND RENTAL REVENUES U.S. Drilling $ 17,856 $ 21,635 $ 13,872 International Land Drilling 34,749 30,662 31,245 International Offshore Drilling 18,056 23,121 17,845 Rental Tools 14,271 10,304 14,054 -------- -------- -------- TOTAL DRILLING AND RENTAL REVENUES 84,932 85,722 77,016 -------- -------- -------- DRILLING AND RENTAL OPERATING INCOME U.S. Drilling 7,582 8,668 1,908 International Land Drilling 10,586 13,010 10,321 International Offshore Drilling 6,425 7,084 5,537 Rental Tools 8,088 5,144 8,194 Depreciation and Amortization (17,099) (17,714) (17,393) -------- -------- -------- TOTAL DRILLING AND RENTAL OPERATING INCOME 15,582 16,192 8,567 Construction Contract Operating Income -- 438 1,000 General and Administrative Expense (4,771) (6,145) (4,079) Provision for Reduction in Carrying Value of Certain Assets (6,028) -- -- Gain on Disposition of Assets, Net 2,594 216 405 -------- -------- -------- TOTAL OPERATING INCOME FROM CONTINUING OPERATIONS $ 7,377 $ 10,701 $ 5,893 ======== ======== ========
MARKETABLE RIG COUNT SUMMARY AS OF DECEMBER 31, 2003
TOTAL --------- U.S. GULF OF MEXICO BARGE RIGS Workover 7 Intermediate 5 Deep 9 --------- TOTAL U.S. GULF OF MEXICO BARGE RIGS 21 --------- INTERNATIONAL LAND RIGS Asia Pacific 12 Africa/Middle East 2 CIS 8 --------- TOTAL INTERNATIONAL LAND RIGS 22 INTERNATIONAL BARGE RIGS Nigeria 4 Caspian Sea 1 --------- TOTAL INTERNATIONAL BARGE RIGS 5 --------- TOTAL INTERNATIONAL RIGS 27 --------- RIGS HELD FOR SALE U.S. Gulf of Mexico Platform Rigs 4 U.S. Gulf of Mexico Jackup Rigs 6 Latin America Land Rigs 16 --------- TOTAL RIGS HELD FOR SALE 26 --------- TOTAL MARKETABLE RIGS 74 =========
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