Increased Oil Drilling Boosts Varco International’s Revenue

Varco International Inc., which makes oil and gas drilling equipment and machinery, posted sharply higher profit and revenue for the third quarter.

The company said it has benefited from an increase in worldwide drilling activity and an improved offshore drilling climate. The company said use of its offshore rig fleet has increased, leading to higher day rates and improved financial results.

Net income for the quarter rose 95% to $7.2 million, or 22 cents a share, from $3.7 million, or 12 cents a share, a year ago. Revenue gained 44% to $98.1 million from $68.1 million.

For the first three quarters, net income totaled $15.9 million, or 50 cents a share, 33% higher than the $12 million, or 38 cents a share, recorded for the first nine months of 1995. Revenue was up 28% to $259.4 million from $202.5 million.