OTC Bulletin Board

S & P Company Insight for DEEP DOWN, INC.
 
 Profile

 
Business Summary: Deep Down, Inc. provides oilfield services to the offshore exploration and production industry worldwide.
 
Address
  15473 East Freeway
  Channelview , TX 77530
  Phone: 281-862-2201
  Fax: 281-862-2522
  Website: http://www.deepdowninc.com
Auditor
  Malone & Bailey, PC
  Houston
Transfer Agent
  Cottonwood Stock Transfer Corp.
ShareHolders:  1060
Founded:  1975
Domicile:  Nevada
 
  
 
 Background

 
Deep Down, Inc. provides oilfield services to the offshore exploration and production industry worldwide. The company offers various project engineering and management services, including the design, installation, and retrieval of subsea equipment and systems; connection and termination operations; well-commissioning services; and construction support and remote operated vehicles (ROV) operations support. It provides offshore project management, installation support and management, spooling services, pull-in operations, terminations, testing services, system integration testing, commissioning, and storage management services; and marine technical support services, including ROV tooling services and offshore construction equipment rental. In addition, the company offers installation support equipment, and component parts and assemblies for subsea distribution systems, including flying leads, umbilical hardware, bend limiters, compliant splices, installation aids, and buoyancy products; and SeaStax for offshore storage and space management on offshore installation vessels, drilling rigs, and production platforms. Further, it designs, manufactures, installs, and commissions integrated programmable logic controller, and supervisory control and data acquisition based instrumentation and control systems, including ballast control and monitoring, drilling instrumentation, vessel management systems, marine advisory systems, machinery plant control and monitoring systems, and closed circuit television systems. The company sells its products directly to oil and gas companies, subsea equipment manufacturers, and subsea equipment installation contractors involved in offshore exploration, development, and production; and offshore drilling contractors, engineering and construction companies, military, and other companies involved in maritime operations. Deep Down was founded in 1997 and is headquartered in Houston, Texas.
History:  INCORPORATED in Nevada Apr. 4, 2006 as MediQuip Holdings, Inc., and on Apr. 11, 2006, merged True Health, Inc., a Utah concern, through an exchange of Common on a one-for-one basis. Name changed to Deep Down, Inc. Dec. 4, 2006. True Health, Inc. was incorporated in Utah Aug. 27, 1975 as Protech Investments Corp.; name changed to Petroleum Reserves Corp. Apr. 20, 1981, to Borexco Corp. Jan. 22, 1985, and to True Health, Inc. Feb. 21, 1986. December 14, 2006, issued 75,000,000 Common and 14,000 Preferred shares to acquire Deep Down Inc., a Delaware concern. Deep Down Inc. was incorporated on Apr. 17, 1997, and acquired by Subsea Acquisition Corp. (a Texas concern incorporated on June 29, 2006) on Nov. 21, 2006. Subsea then merged into Deep Down (Delaware). April 2, 2007, acquired the assets and certain liabilities of ElectroWave USA, Inc. in exchange for $171,407 cash. Pursuant to the acquisition agreement, the company could issue up to 460 shares of Convertible Preferred over a three-year period as an additional contingent purchase cost.
 
Subsidiaries:
ElectroWave USA, Inc.
 
 
 
 
  
 
 Management

 

Management
OfficersPosition
 Eugene L. ButlerChairman
 Ronald E. SmithPresident & Chief Executive Officer
 Gay Stanley MayeuxChief Financial Officer
 Bradley M. ParroChief Operating Officer
 Ronald W. NanceExec VP
 Mary L. BudrunasSecretary
 Michael D. TealController
 Steven  HaagInvestor Relations Contact

Directors
 Mary L. Budrunas
 Eugene L. Butler
 Mark R. Hollinger
 Ronald E. Smith
 
  
 
 Annual Report

 
Annual Report
 
Income Statement
  20092008
REVENUES
Revenues29,44935,770
EXPENSES
Cost of Sales(19,888)(21,686)
Selling, General and Administrative(14,371)(14,295)
Depreciation and Amortization(6,538)(1,285)
Goodwill Impairments(5,537)-
Interest Expense(366)(3,511)
Interest Income10110
Loss on Debt Extinguishment-(446)
Other Income/expense73(22)
Earnings before Taxes(17,168)(5,365)
TAXES AND OTHER EXPENSES
Provision for Income Tax1,0261,042
Net Income (Loss)(16,142)(4,323)
SUPPLEMENTARY INFO
Gross Profit/loss9,561.0014,084.00
Operating Income (Loss)(16,885.00)(1,496.00)
Basic EPS - Continuing Operations(0.09)(0.03)
 
Balance Sheet
  20092008
CURRENT ASSETS
Cash and Cash Equivalents9122,495
Accounts Receivables7,66210,772
Costs and Estimated Earnings in Excess of Billings on Uncompleted Contracts267708
Inventory8961,362
Deferred Tax Assets-217
Prepaid Expenses and Other Current Assets225634
Restricted Cash-136
Total Current Assets9,96216,324
NON CURRENT ASSETS
Property, Plant and Equipment, Net20,01113,799
Goodwill9,42915,024
Intangibles, Net12,16618,091
Other Assets1,136458
Total Assets52,70463,696
CURRENT LIABILITIES
Accounts Payable and Accrued Liabilities2,8654,319
Current Portion of Long-term Debt1,497383
Billings in Excess of Costs and Estimated Earnings on Uncompleted Contracts4,4342,315
Total Current Liabilities8,7967,017
NON CURRENT LIABILITIES
Long-term Debt Net5,3791,718
Deferred Tax Liabilities-1,126
SHAREHOLDERS' EQUITY
Common Stock - Par Value180177
Additional Paid in Capital61,16160,328
Retained Earnings(22,812)(6,670)
Total Shareholders Equity38,52953,835
Total Liabilities & Shareholders Equity52,70463,696
 
  
 
 Interim Report

 
Interim Report   
 
Data Not Available
 
 
 
 
  
 
 Pro Forma Report

 
Pro Forma Report   
 
Data Not Available
 
 
 
 
  
 
 Quarterly Report

 
Quarterly Report Information   
 
Quarterly Revenue, US$
YearQuarterRevenue
  2010   16,640,000
  2009   17,100,000
  2009   26,200,000
  2009   38,430,000
  2009   47,720,000
  2009   Full Year 29,450,000
  2008   16,280,000
  2008   27,920,000
  2008   311,650,000
  2008   49,920,000
  2008   Full Year 35,770,000
  2007   12,100,000
  2007   25,140,000
  2007   34,890,000
  2007   47,260,000
  2007   Full Year 19,390,000
  2006   32,210,000
  2006   4(4,320,000)
  2006   Full Year 978,000
  2005   31,180,000
 
 
Quarterly Net Income, US$
YearQuarterRevenue
  2010   1(2,140,000)
  2009   1(730,000)
  2009   2(1,760,000)
  2009   3(2,090,000)
  2009   4(11,560,000)
  2009   Full Year (16,140,000)
  2008   1(90,000)
  2008   2(4,870,000)
  2008   31,580,000
  2008   4(940,000)
  2008   Full Year (4,320,000)
  2007   1(110,000)
  2007   2950,000
  2007   3200,000
  2007   4(80,000)
  2007   Full Year 950,000
  2006   Full Year (3,300,000)
 
 
Quarterly EPS, US$
YearQuarterRevenue
  2010   1(.01)
  2009   1Nil
  2009   2(.01)
  2009   3(.01)
  2009   4(.06)
  2009   Full Year (.09)
  2008   1Nil
  2008   2(.04)
  2008   3.01
  2008   4Nil
  2008   Full Year (.03)
  2007   1Nil
  2007   2.01
  2007   3Nil
  2007   4Nil
  2007   Full Year .01
  2006   4(.09)
  2006   Full Year (.04)
 
  
 
 Stock Data

 
 
Capitalization as of 12/31/2009:
 
 Authorized SharesOutstanding Shares
Series Preferred $0.001 par10,000,000None
Common $0.001 par490,000,000180,451,000
 
LONG TERM DEBT: $5,379,000.
 
Common $0.001 par
 
COMMON PLACED PRIVATELY: March 20, 2007, the company sold 10,000,000 common shares privately for $1,000,000. Proceeds from the sale were to be used to redeem certain outstanding exchangeable preferred stock, and for working capital.
 
Stockholders:  03/31/2010, 1060.
Transfer Agent:  Cottonwood Stock Transfer Corp.   Salt Lake City , UT
 
OTC Bulletin Board( Primary): DPDW
 
ExchangeYearHighLow
OTC Bulletin Board20090.28000.0800
OTC Bulletin Board20081.27000.1100
OTC Bulletin Board20072.35000.1600
OTC Bulletin Board20061.90000.0400
 
DIVIDENDS: Common $0.001 par: None.