Readers are cautioned that the foregoing lists of factors are not exhaustive. Additional information on these and other factors that could affect the Corporation's operations and financial results are included in reports on file with the Canadian Securities Regulatory Authorities and may be accessed through the SEDAR website (www.sedar.com) or at the Corporation's website. The forward-looking statements and information contained in this document are expressly qualified by this cautionary statement. The Corporation does not undertake any obligation to publicly update or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, except as may be required by applicable securities laws.
Revenue
(Stated in thousands of dollars)
Three-month periods ended Years ended December 31, December 31, 2012 2011 % Change 2012 2011 % Change--------------------------------------------------------------------------------------------------------------------------------------------------------Revenue 79,473 73,606 8 301,720 260,063 16--------------------------------------------------------------------------------------------------------------------------------------------------------
Despite continual weak industry activity in Canada, PHX Energy generated consolidated revenue for the three-month period ended December 31, 2012 of $79.5 million, an 8 percent increase compared to the $73.6 million in the corresponding 2011-period. This level of quarterly revenue was a record for a fourth quarter and the third highest in the Corporation's history, with the all-time record being achieved in the third quarter of 2012 followed by the revenue achieved in the first quarter of the year. Consolidated operating days increased by 8 percent to 6,690 days in 2012 from 6,210 days in the 2011-quarter and were also a fourth quarter record. Average consolidated day rates for the three-month period ended December 31, 2012, excluding the motor rental division in Midland, Texas, were $11,671 which is comparable to the day rates of $11,695 realized in the fourth quarter of 2011.
The demand for horizontal and directional drilling services continued to be strong in Canada and US. In the 2012-quarter, horizontal and directional drilling activity represented a record 93 percent of total Canadian industry drilling days (2011 - 92 percent). In the US, horizontal and directional activity represented approximately 72 percent of the rigs running per day in the fourth quarter of 2012 compared to 69 percent in the 2011-quarter. (Sources: Daily Oil Bulletin and Baker Hughes)
International operations also generated record level of revenues for a fourth quarter. International revenue, as a percentage of total consolidated revenue, increased to 12 percent in the 2012-quarter compared to 9 percent in the 2011-quarter.
For the year ended December 31, 2012, PHX Energy generated record consolidated revenue of $301.7 million, a 16 percent increase compared to 2011 revenue of $260.1 million. This achievement is the result of the Corporation's strategy to grow its US and international regions. US and international revenue, as a percentage of total consolidated revenue, grew to 46 and 12 percent, respectively, for the 2012-year as compared to 36 and 9 percent in 2011. Consolidated operating days increased by 6 percent to a record 24,930 days compared to 23,458 in 2011. Average consolidated day rates for the year ended December 31, 2012, excluding the motor rental division in Midland, Texas, increased by 8 percent to $11,903 from $11,039 in the corresponding 2011-period. The 2012 average consolidated day rates are stronger due in part to higher international activity and greater utilization of the Corporation's RWD technology.
