HOUSTON, Jan. 22, 2018 (GLOBE NEWSWIRE) -- SMG Indium Resources Ltd. (the "Company") (OTCQB:SMGI), an oilfield services company headquartered in Houston, Texas, focused in selling products and services to drilling rig operators, E&P companies and other oilfield services companies today announced that its preliminary unaudited results for consolidated revenues from operations for the fiscal year ended December 31, 2017 exceeded $2.45 million, representing an increase of approximately 53% from fiscal year 2016. The preliminary unaudited results for consolidated revenues from operations for the fourth quarter ended December 31, 2017, exceeded $685,000. This represents an increase of approximately 40% from the comparable quarterly period in 2016.
The Company's preliminary fourth quarter 2017 revenues represented a sequential increase of approximately 11% from the Company's third quarter 2017 revenues. The Company reported sequential gross margin increases in its last quarter report for the nine months ended September 30, 2017 on Form 10-Q. Increased revenues continue to cover more fixed costs within cost of revenues and we currently anticipate the fourth quarter results will continue this gross margin trend in comparison to previous years.
Mr. Matt Flemming, CEO of SMG, stated: "We are pleased with the performance of our MG Cleaners subsidiary as it continues to benefit from the growth in oilfield activity levels resulting from an increase in the active rig count in the United States. Our wholly-owned subsidiary MG Cleaners focuses on selling proprietary products such as Miracle Blue™, an oilfield degreaser and providing onsite services to drilling rig operators such as Nabors, Patterson-UTI, Helmrich & Payne and Cactus Drilling. Currently, SMG sees continued growth for 2018 and will consider acquisitions of products and companies that strategically fit into its business and customer base.”
Mr. Stephen Christian, President of MG Cleaners stated, "The domestic rig count is currently at 939, which is up over 130% from its May 2016 lows. We anticipate strong growth at MG in 2018 from our West Texas Permian Basin expansion, increased equipment fleet and added revenue-producing service crews.” Mr. Christian continued, "Approximately half of the rigs operating in the United States are located in Texas, therefore, MG can focus in Texas to have excellent penetration in the market for its products and services. Additionally, we are presently pursuing manufacturing and corporate alliances to increase our proprietary offerings.”
The Company anticipates announcing its full audited financial results in connection with the filing of its Annual Report on Form 10-K by March 30, 2018.
About SMG Indium Resources: SMG is an oilfield services company that operates throughout Texas. The Company, through its wholly-owned subsidiary MG Cleaners LLC, is focused on selling proprietary branded products including detergents, surfactants and degreasers such as Miracle Blue™, to oilfield drilling rig contractors and oilfield companies. In addition to the Company's proprietary products, the Company sells equipment and parts and has service crews that perform on-site repairs, maintenance and drilling rig wash services for customers such as Nabors Industries, Patterson-UTI, Helmrich & Payne, Cactus Drilling and others. SMG Indium Resources Ltd.’s headquarters are located in Houston, Texas with facilities in Carthage, Texas and Odessa, Texas. Read more at www.smg-indium.com and www.mgcleanersllc.com.
Source: Matthew Flemming, SMG Indium Resources Ltd. +1-713-821-3153