Wednesday, October 22, 2008

TGC Industries, Inc. (TGE) Announces Third Quarter Financial Results – CEO Comments on Economic Outlook

TGC Industries, Inc. (NASD: TGE), a leading provider of seismic data acquisition services throughout the continental United States, recently announced its financial results from the third quarter of 2008. Net income for the quarter totaled $0.11 per share compared with net income of $0.10 per share recording during the third quarter of 2007, beating analysts’ estimates of $0.09 per share.

Although revenues for the third quarter decreased 11 percent from the third quarter one year ago to $21.6 million, gross profit margin in the third quarter of 2008 improved to 38 percent from 29.9 percent in the third quarter of 2007. Approximately 60 percent to 70 percent of the company’s business is in the natural gas exploration market.

Wayne Whitener, the company’s president and chief executive officer, commented on the financial results, and stated, “We have seen downturn pressure on commodity pricing and a global financial crisis. To date, the economic uncertainties have not impacted our business. We believe the fundamentals for domestic oil and gas exploration will remain at substantial levels.” He concluded, “We have a strong balance sheet and our cash exceeds total debt. We feel that with our new equipment, cash position, credit facility and record backlog of approximately $82 million make us ready to weather any storm that may come our way.”

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