Layne Christensen Reports Third Quarter Fiscal 2016 Financial Results

December 14, 2015

Source: J. Michael Anderson
Job Title: Chief Financial Officer
Email: michael.anderson@layne.com

THE WOODLANDS, Texas, Dec. 9, 2015 /PRNewswire/ -- Layne Christensen Company (NASDAQ: LAYN) ("Layne" or the "Company") today announced financial and operating results for the fiscal 2016 third quarter ended October 31, 2015 (Q3 FY 2016).

Two items affect the presentation of financial results for the quarter. First, Layne realigned its operating structure by combining the Energy Services segment with the Water Resources segment. This realignment is expected to increase efficiencies both in terms of asset management and operations. All financial information has been recast to reflect this realignment. Further, on August 17, 2015, Layne closed the sale of its Geoconstruction business segment for total consideration of approximately $47.7 million, including amounts for post-closing adjustments. Financial results for Layne reflect Geoconstruction as discontinued operations for both current and historical periods.

Overview

CEO Commentary

Michael J. Caliel, President and Chief Executive Officer of Layne, commented, "Our third quarter results reflect the ongoing strength of our core water-related platforms, which again delivered higher revenues. In addition, we demonstrated meaningful progress in transforming our Heavy Civil division where we delivered close to break-even results as cost reductions, risk management initiatives and enhanced commercial discipline continued to take hold. The ongoing commodity related headwinds continue to adversely impact our Mineral Services business; however, we anticipate operating this segment on a cash neutral basis going forward. To that end, we are progressing the wind down of our Mineral Services operations in Africa and are currently seeking a number of alternatives to monetize the assets.

Read the full Layne Christensen Reports Third Quarter Fiscal 2016 Financial Results article.

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