(MENAFN- ProactiveInvestors) () tumbled 50 percent after the provider of oilfield accommodation services suspended its dividend cut spending and anticipated first-quarter and full-year revenue below analyst expectations in response to dropping demand from the collapse in commodity prices.
Shares were down 49 percent at $4.23 at 10:31 a.m. in New York after touching $4.19 earlier in the session. The shares kicked off trading publicly in June at $23.25 when West Texas Intermediate crude was above $100 a barrel. Oil has declined by almost half since then.
The Houston Texas-based company said in a statement late yesterday that it expects 2015 capital expenditures of $75 million-$85 million much below the $260 million-$280 million it expected to spend this year.
The company halted its 13-cent quarterly dividend.
The company which also operates in Australia said it expects revenue of $160 million to $175 million for the first quarter ending March. Analysts on average were expecting $228 million.
's 2015 revenue forecast of $540 million to $600 million also trailed analysts' estimate of $817.2 million.
also said it may record some impairment charges.
The company has cut staff in Canada by 30 percent and in the U.S. by 45 percent since the start of the year it said yesterday. Cutbacks by oil-sands producers have reduced demand for its services in Canada. In addition coal companies in Australia are suffering from “persistently low” prices the company said.
Oil prices this year are on track for the biggest decline since 2008. The rapid decline has prompted several oil producers in Canada including and Athabasca Oil to cut spending.
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