Enservco boosts sales while attempting strategy shift

LONGMONT — Enservco Corp. (NYSE American: ENSV), which has traditionally provided specialized well-site services to the domestic oil and gas industries, increased its year-over-year sales by 10% in the first quarter of 2024 while attempting a corporate-strategy shift away from the more seasonal aspects of its energy-services business and toward transportation and logistics. 

Total revenues were $9.8 million in the most recent period, up from $8.9 million in the same quarter last year.

Enservco’s net income in the fourth quarter of 2024 was $700,000, an improvement of a net loss of $1 million in the same period last year. 

“We kicked off 2024 on a strong note with first quarter results that materially exceeded the prior year across the board on key financial metrics, including revenues, segment and operating profit, and net earnings,” Enservco CEO Rich Murphy said. 

Enservco’s declared its strategic pivot toward logistics during the first quarter, on the heels of a March deal to acquire Fort Lupton-based energy-logistics and transportation company Buckshot Trucking LLC for $5 million in cash and stock. The acquisition is expected to close in the third quarter of 2024.

“While the first quarter benefited from improved seasonal conditions for our frac water heating services business, our performance during the period also highlighted our efforts to drive further improvements throughout the company. These initiatives were multi-faceted and included reducing our footprint to focus only on operations that provide the best economic returns, lowering costs and streamlining processes throughout the organization, and taking necessary steps to enhance the company’s financial outlook,” Murphy said. “Combined with our pending acquisition of Buckshot, we believe Enservco will be in a much-improved position in the marketplace and with the investment community. We look forward to evaluating and executing additional opportunities that further evolve our business away from seasonal to more year-round activities designed to drive long-term cash flow generation, profitability, and shareholder value.”

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