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Core Laboratories Hammered On Q4 Miss, Weak Outlook

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Core Laboratories N.V. (NYSE: CLB) shares have taken a dive after the oilfield services company missed fourth-quarter expectations.

The company's shares were down 10 percent recently, changing hands at $89.77.

Core expects first-quarter margins will narrow 60 percent because of a lower North American rig count and the suspension of recently drilled wells.

"Margins going forward should improve" as Core takes further action to cut costs, the company said.

Core forecast first-quarter earnings of $1.05 to $1.10 a share, on revenue of $230 million. But Wall Street expected $1.34 a share, on revenue of $235 million.

Net fourth-quarter income grew to $66.2 million, or $1.52 a share, from $64.7 million, or $1.42 a share last year.

Revenue increased 0.9 percent to $278.6 million, from $276.3 million a year earlier.

Analysts expected fourth-quarter income of $1.54 a share, on revenue of $280.7 million.

The company added that its fourth-quarter free cash flow grew 12 percent to $88.8 million.

 

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Posted-In: Earnings News Guidance