Mahalo for supporting Honolulu Star-Advertiser. Enjoy this free story!
A local company engaged in Canadian oil and natural gas production relied on Hawaii land investments to earn a profit in its most recent fiscal quarter, following two quarters of losses.
Honolulu-based Barnwell Industries Inc. announced Wednesday that it earned $775,000 in the three months ended June 30 that represent the company’s third quarter. That was down from a $971,000 profit in the same period last year yet discontinued two straight quarters of losses.
The profit in the recent quarter was lower than a year earlier despite substantially higher revenue —
$8.2 million in the recent quarter compared with $4.9 million a year earlier.
Revenue soared primarily due to property sales on Hawaii island where Barnwell has investments at Kukio Resort.
The company said it received
$5.3 million in Kukio land development partnership proceeds along with
$1.6 million for its partial interest in an oceanfront parcel that sold in April for
$20 million at the resort.
For the first nine months of Barnwell’s fiscal year — October through June — the company has a
$2.2 million loss, which is up from a $1.5 million loss in the comparable year-earlier period.
Barnwell has been hurt by low oil and natural gas prices, and has sold much of its energy-producing lands for cash while pursuing new opportunities. The company said it had $17.4 million in cash or cash equivalents at the end of June and no bank debt.
Shares of Barnwell stock, which is lightly traded, closed Wednesday at
$1.65 before the earnings announcement. Shares in the last 52 weeks have closed between a low of $1.30 on Feb. 29 and a high of
$2.30 on Aug. 31.
74