UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 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): May 1, 2006
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NEWPARK RESOURCES, INC. |
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(Exact name of registrant as specified in its charter) |
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Delaware |
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1-2960 |
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72-1123385 |
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(State or other jurisdiction |
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(Commission |
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(IRS Employer |
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3850 North Causeway, Suite 1770 |
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Metairie, Louisiana |
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70002 |
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(Address of principal executive offices) |
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(Zip Code) |
Registrant’s telephone number, including area code: (504) 838-8222
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(Former name or former address, if changed since last report.) |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13a-4(c)) |
Item 2.02(a). Results of Operations and Financial Condition.
On May 1, 2006, Newpark Resources, Inc. issued a press release announcing certain financial information for the quarter ended March 31, 2006 and providing an update regarding its ongoing internal investigation. The press release is attached to this Form 8-K as Exhibit 99.1.
The information in this Form 8-K and the exhibit attached hereto shall not be deemed “filed” for purposes of section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act regardless of any general incorporation by reference language in such filing.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
99.1 Press release issued by Newpark Resources, Inc. on May 1, 2006.
SIGNATURES
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.
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NEWPARK RESOURCES, INC. |
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Dated: May 8, 2006 |
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/s/ Eric M. Wingerter |
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Eric M. Wingerter, V.P. and Corporate |
EXHIBIT INDEX
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Exhibit No. |
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Description |
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99.1 |
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Press release issued by Newpark Resources, Inc. on May 1, 2006. |
Exhibit 99.1
Newpark Announces First Quarter Revenue Increase of 29% and Improvement
in
Operating Cash Flows, Postpones First Quarter Earnings Release and
Conference Call, Updates Progress of Internal Investigation
METAIRIE, La., May 1 /PRNewswire-FirstCall/ -- Newpark Resources, Inc. (NYSE: NR) today announced that revenues for the first quarter of 2006 were $165.8 million, as compared to $129.0 million in the first quarter of 2005, an increase of 29%. Net cash flows from operations for the first quarter of 2006 were approximately $12.7 million, as compared to $6.8 million in the first quarter of 2005 and $10.0 million in 2005’s fourth quarter.
Operating cash flows in the first quarter of 2006 and fourth quarter of 2005 were benefited by the receipt of insurance proceeds in the amount of $3.1 million and $2.0 million, respectively, resulting from hurricanes Katrina and Rita. The company also announced that due to the current status of the internal investigation previously announced on April 17th, it has postponed the first quarter earnings release scheduled for today and the earnings conference call scheduled for Tuesday, May 2. We will announce a rescheduled earnings release and conference call as soon as we can.
Consolidated revenue gains in the first quarter were driven by continued growth in the company’s drilling fluids segment, which increased revenue by 40%. All of Newpark’s business segments experienced year-over-year and sequential revenue growth in the first quarter.
Newpark ended the quarter with $10.1 million in cash and total debt of $204 million. During the quarter, the company invested approximately $12.7 million in property, plant and equipment, including $1.2 million in replacement of storm-damaged property and $2.7 million in water technology additions. The company received insurance proceeds of approximately $3.5 million in the quarter related to reimbursement of losses on property, plant and equipment resulting from hurricanes Katrina and Rita.
Paul Howes, Newpark’s Chief Executive Officer, said: “Newpark’s core businesses continue to perform very well and the business climate continues to be strong. The internal investigation, under the direction of the audit committee of the Board, is well under way. Based on information that has come to light to date, it appears we may have asset impairments which we do not believe will exceed $10 million on a pretax basis, subject to possible recovery from third parties. No determination has been made on the impact, if any, on previously issued financial statements. We remain committed to increasing shareholder value through continued improvement in our core business segments and our new technology initiatives.”
Newpark Resources, Inc. provides value added drilling fluids, environmental waste treatment solutions, and access to temporary work sites primarily for the oil and gas industry.
The foregoing discussion may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. There are risks and uncertainties that could cause future events and results to differ materially from those anticipated by management in the forward-looking statements included in this press release. For further information regarding these and other factors, risks and uncertainties affecting us, we refer you to the risk factors set forth under the headings “Risk Factors” and “Cautionary Statement Concerning Forward-Looking Statements” in our Annual Report on Form 10-K for the year ended December 31, 2005, as filed with the Securities and Exchange Commission on March 14, 2006. In particular, as described on pages 15 and 16 of that Annual Report, any material decline in the level of oil and gas exploration and production activity could result in fewer opportunities being available for the service industry in general and us in particular, and may adversely affect the demand for our services. In addition, as described on page 18 of that Annual Report, rescission or relaxation of governmental regulations could reduce the demand for our services and reduce our revenues and income. We strongly urge you to review that Annual Report and our other filings with the Securities and Exchange Commission for a more detailed discussion of these and other factors, risks and uncertainties. Our SEC filings can be obtained at no charge at http://www.sec.gov , as well as through our website http://www.newpark.com .
SOURCE Newpark Resources, Inc.
-0- 05/01/2006
/CONTACT: Eric M. Wingerter, V.P. and Corporate Controller of Newpark Resources, Inc., +1-504-838-8222/
/Web site: http://www.newpark.com /