Critical Control Energy Services Corp. announced earnings results for the first quarter ended March 31, 2018. For the quarter, the company reported loss before tax of $0.3 million for the first quarter 2018 and 2017. The Adjusted EBITDA was $0.2 million.  The decrease from the prior comparative period of $0.8 million is attributed to a decline in measurement services revenue offset by reduced administrative expenditures. Key strategic Cloud based software generated $2.0 million in the first quarter of 2018 a growth of 7% fueled by market penetration in the United States, which increased by 95% compared to the comparative period in 2017. Software based services revenue decreased by 14% compared to the prior period comparison due in large part to the nearing completion of a major implementation of one of the Corporation's cloud based solutions at a large customer in Canada. Measurement services revenue decreased by 23% compared to the prior period. While a portion of this decline was expected given the Corporation's strategy to replace a portion of field services with automation, the impact was fueled by several factors including extreme weather conditions in the Appalachian region and a series of large projects put on temporary hold due to M&A activity. Equipment and other revenue generated $1.0 million in the first quarter of 2018 over 90% of this revenue is based in the United States.

Management is confident that this endeavour will yield growth in the Corporation's strategic cloud based software revenue, but the effort is expected to continue to negatively impact the Corporation's measurement services revenue in 2018 as the Corporation implements customers onto its cloud based software. Management is optimistic that the continuation of this strategy in 2018 will accelerate adoption of the Corporation's cloud based software in the US which will offset the risk inherent in the Canadian market place.