Pulse Seismic Inc. Reports 2019 Results

CALGARY, Alberta, Feb. 13, 2020 (GLOBE NEWSWIRE) — Pulse Seismic Inc. (TSX:PSD) (OTCQX:PLSDF) (“Pulse” or “the Company”) is pleased to report its financial and operating results for the year ended December 31, 2019. The audited consolidated financial statements, accompanying notes and MD&A are being filed on SEDAR (www.sedar.com) and will be available on Pulse’s website at www.pulseseismic.com.

“Despite 2019 being year five of the ongoing downturn in Western Canada’s oil and natural gas sector, Pulse generated strong levels of cash EBITDA and shareholder free cash flow throughout the year,” stated Neal Coleman, Pulse’s President and CEO. “In January 2019 Pulse closed the opportunistic and transformative acquisition of Seitel Canada Ltd. The result for 2019 was a 64% increase in sales over the sales generated from the combined data libraries in 2018. Having doubled our database, and therefore doubled our opportunity sets, Pulse has been able to capitalize on a larger range of traditional data sales, and has continued potential to benefit from a greater number of industry transactions that generate relicensing fees.”

HIGHLIGHTS FOR THE YEAR ENDED DECEMBER 31, 2019

Total revenue for the year ended December 31, 2019 was $24.2 million compared to $10.2 million for the year ended December 31, 2018.

The Company incurred a net loss of $3.4 million ($0.06 per share basic and diluted) for 2019 compared to a net loss of $1.7 million ($0.03 per share basic and diluted) for 2018;

Cash EBITDA^(a) was $17.6 million ($0.33 per share basic and diluted) for the year ended December 31, 2019, compared to $5.0 million ($0.09 per share basic and diluted) for the year ended December 31, 2018;

Shareholder free cash flow^(a) was $13.6 million ($0.25 per share basic and diluted) for the year ended December 31, 2019, compared to $4.7 million ($0.09 per share basic and diluted) for the year ended December 31, 2018; and

At December 31, 2018, the Company had a cash balance of $23.0 million and no debt. That cash was subsequently utilized as partial consideration for the $58.6 million acquisition of Seitel. At year end 2019, the cash balance was $1.4 million, long-term debt was $31.5 million and the Company had $22.1 million available on the revolving credit facility.

HIGHLIGHTS FOR THE THREE MONTHS ENDED DECEMBER 31, 2019

Total revenue for the three months ended December 31, 2019 was $5.4 million compared to $4.3 million for the three months ended December 31, 2018;

Net loss was $759,000 ($0.01 per share basic and diluted) compared to net earnings of $1.0 million or ($0.02 per share basic and diluted) in the fourth quarter of 2018;

Cash EBITDA was $3.9 million ($0.07 per share basic and diluted) compared to $3.2 million ($0.06 per share basic and diluted) in the fourth quarter of 2018; and

Shareholder free cash flow was $3.0 million ($0.06 per share basic and diluted) compared to $2.6 million ($0.05 per share per share basic and diluted) in the fourth quarter of 2018.

These non-GAAP financial measures are defined, calculated and reconciled to the nearest GAAP financial measures in the Management’s Discussion and Analysis.

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