Operators in the geophysical services industry acquire and interpret subsurface terrain surveys to find energy deposits and other physical features. While the industry primarily serves energy companies, it also contracts services to government agencies and professional services providers.
Due to historical volatility in energy prices, the industry’s heavy reliance on energy companies often results in revenue fluctuations. For instance, volatile crude oil prices have led to recent fluctuations, evidenced in 2020, as the COVID-19 pandemic led to an economic slowdown, causing oil prices to plummet and reducing activity from the industry’s key market. However, recent surges in oil prices, resulting from fast-rising energy needs alongside reduced domestic production.
