Ensign Energy Services (TSE:ESI) Posts Earnings Results

Ensign Energy Services (TSE:ESI) released its quarterly earnings results on Thursday. The company reported C($0.06) earnings per share for the quarter, FiscalAI reports. Ensign Energy Services had a negative return on equity of 2.94% and a negative net margin of 2.37%.The company had revenue of C$418.03 million during the quarter.

Here are the key takeaways from Ensign Energy Services’ conference call:

• Q1 revenue was CAD 418 million (?4% YoY) and Adjusted EBITDA was CAD 94.8 million (?7% YoY), pressured by lower Canadian activity and a ~4% negative U.S. dollar translation effect.
• Interest expense fell 37% with a targeted blended interest rate under 7%, trailing net debt/Adjusted EBITDA at 2.47 and a CAD 125 million debt reduction target for 2026 as part of the broader CAD 600 million paydown plan.
• U.S. operations remain the margin engine with 45 rigs under contract, Permian strength and 2–3 contracted incremental rigs expected over the next six months, and nearly half of U.S. rigs on performance?based contracts.
• International upside from a de?risked Venezuela position — Ensign operates the only rigs there (2 running, a 3rd planned this year) and sees longer?term growth as infrastructure permits.
• Technology and efficiency gains: the Edge Drilling Rig automation is deployed on ~65% of rigs generating CAD 650–2,600/day and management expects ~15% YoY top? and bottom?line growth, plus an AI?driven Directional Guidance System in beta.

Ensign Energy Services Price Performance

Shares of TSE ESI opened at C$3.84 on Friday. The company has a debt-to-equity ratio of 75.33, a current ratio of 1.34 and a quick ratio of 1.30. The company has a market capitalization of C$707.49 million, a price-to-earnings ratio of -18.29, a PEG ratio of 202.94 and a beta of 1.28. The business has a 50-day moving average of C$3.61 and a 200-day moving average of C$3.08. Ensign Energy Services has a 1-year low of C$1.85 and a 1-year high of C$4.09.

Analyst Ratings Changes

A number of equities research analysts have issued reports on ESI shares. TD boosted their price target on Ensign Energy Services from C$3.50 to C$3.75 and gave the company a “hold” rating in a research report on Friday. Royal Bank Of Canada upped their target price on Ensign Energy Services from C$3.50 to C$4.00 and gave the stock a “sector perform” rating in a research report on Tuesday, April 14th. Four investment analysts have rated the stock with a Hold rating, According to MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of C$3.40.

Ensign Energy Services Company Profile

Ensign Energy Services Inc offers services in drilling and well servicing, oil sands coring, directional drilling, underbalanced and managed pressure drilling, equipment rentals, transportation, wireline services, and production testing services. Ensign produces enhanced drilling with the help of its proprietary automated drilling rigs. The automated drilling rigs are built for improved safety and a reduced environmental footprint. Most of the company’s revenue is derived from the United States and Canada.