Landdrill Reports Second Quarter Financial Results

On a year to date basis the Company had revenues of $9,702,000, which is an increase of $4,589,000 (90%) over the comparable period's amount of $5,113,000. Net income of $309,000 was an increase of $1,144,000 from the comparable period's loss of $835,000.

Ron Goguen Sr., the President and CEO of Landdrill said, "The Company is pleased to report continued growth in their revenues, however the quarter's gross margin of 30.2% was below expectations and was as a direct result of the Mexican branche's 20.2% gross profit, during a period when they accounted for 42% of the Company's consolidated revenues. For the current third quarter, margins are expected to return to their historical levels and revenues will be positively affected by the July 29th acquisition of the assets of Forage M. Lafreniere Inc. This acquisition added 7 drills to our Canadian operations, along with experienced drillers and a strong management team.

After the acquisition, five of their seven drills were immediately re-deployed to pre-existing contracts, with the other two expected to be operational in the Fall. We are confident that with this acquisition, combined with continued growth in our foreign subsidiaries that we can continue to achieve improved financial results." -- www.cnxmarketlink.com