Pulse Seismic (PSD) Q3 2024 earnings summary

Executive summary

• Q3 2024 revenue was $2.7 million, down from $5.1 million in Q3 2023; nine-month revenue was $17.8 million, down from $22.3 million year-over-year.

• Net loss of $1.4 million in Q3 2024 versus net earnings of $393,000 in Q3 2023; nine-month net earnings were $2.6 million, down from $6.7 million year-over-year.

• Regular and special dividends totaling $4.8 million were declared and paid in the first three quarters of 2024.

• 3.2% of shares outstanding at December 31, 2023, were repurchased and cancelled for $3.7 million in the nine-month period.

• Pulse remains debt-free with $7.5 million in cash at September 30, 2024.

Financial highlights

• EBITDA for Q3 2024 was $1.1 million, down from $3.3 million in Q3 2023; nine-month EBITDA was $11.7 million, down from $16.8 million year-over-year.

• Shareholder free cash flow for Q3 2024 was $1.1 million, down from $2.8 million in Q3 2023; nine-month free cash flow was $10.0 million, down from $13.9 million year-over-year.

• Cash provided by operating activities was $2.7 million in Q3 2024 and $11.9 million for the nine months ended September 30, 2024.

• Working capital at September 30, 2024, was $7.5 million with a working capital ratio of 3.8:1.

Outlook and guidance

• Land sales in Alberta remain strong at $300 million YTD, slightly down from $318 million in 2023 but well above recent years.

• Infrastructure improvements, such as the TMX pipeline expansion and upcoming LNG Canada facility, are expected to support future industry activity.

• Oil prices have improved in 2024, with expectations for higher natural gas prices in 2025.

• Pulse maintains low visibility on future seismic data sales and does not provide specific financial guidance.

• Focus remains on cost control, strong balance sheet, and disciplined capital allocation.