07:28 AM EDT, 05/13/2025 (MT Newswires) -- High Arctic Energy Services ( HGHAF ) on Tuesday said it swung to a first-quarter loss as revenue from continuing operations fell.

The company reported a net loss from continuing operations of $120,000, or $0.01 per basic and diluted share, for the three-months ended March 31, compared with net income of $182,000 or, $0.01 per share, a year earlier. The company said that net loss was impacted by lower interest income, net higher non-cash accretion expenses and reduced income from equity accounted investments.

Revenue from continuing operations fell to $2.3 million from $3.0 million. Revenue was negatively impacted by softening demand driven primarily by deferral of some completions activity as customers have taken a cautious approach to the timing of the deployment of their 2025 capital budgets given the recent general economic uncertainty due to ongoing geopolitical events.

"Our investment in and amalgamation of Delta Rental Services continues to deliver financial performance in line with our pre-transaction expectations and we anticipate consistent results through the coming months with significant upside potential as gas well completion rates increase in anticipation of first gas through the Coastal GasLink pipeline," said High Arctic Energy Services ( HGHAF ) Chief Executive Mike Maguire.

The company expects to continue to execute on the initial phases of its strategic objectives, with progress to date being evidenced by safety performance, balance sheet preservation, general and administrative expense reductions, selective capital expenditure investments, and oversight of equity investments in 2025.

Shares of the company closed up 5% to $0.86 on Monday on the Toronto Stock Exchange.