UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 12b-25
NOTIFICATION OF LATE FILING
[X] Form 10-K [ ] Form 20-F [ ] Form 11-K [ ] Form 10-Q [ ] Form N-SAR
For the Period Ended September 30, 2006
Commission file number: 000-33215
Caspian Services, Inc.
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Full Name of Registrant
257 East 200 South, Suite 340
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Address of Principle Executive Offices
Salt Lake City, Utah 84101
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City, State and Zip Code
Part II - Rules 12b-25 (b) and (c)
If the subject could be filed without unreasonable effort or expense
and the Registrant seeks relief pursuant to Rule 12b-25 (b), the following
should be completed. (Check if appropriate).
[X] (a) The reasons described in reasonable detail in Part III of this form
could not be eliminated without unreasonable effort of expense;
[X] (b) The subject annual report, semi-annual report, transition report on
Form 10-K, Form 20-F, Form 11-K, Form N-SAR, or portion thereof, will
be filed on or before the fifteenth calendar day following the
prescribed due date; or the subject quarterly report or transition
report on Form 10-Q, or portion thereof will be filed on or before the
fifth calendar day following the prescribed due date; and
[ ] (c) The accountant's statements or other exhibit required by Rule
12b-25 (c) has been attached if applicable.
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Part III - Narrative
State below in reasonable detail the reasons why Form 10-K, 10-KSB,
20-F, 11-K, 10-Q, 10-QSB, N-SAR, or the transition report or portion
thereof, could not be filed within the prescribed time period.
The annual report of the registrant on Form 10-KSB could not be timely
filed because management requires additional time to compile and verify
the data required to be included in the report. The report will be
filed within fifteen calendar days of the date the original report was
due.
Part IV - Other Information
(1) Name and telephone number of person to contact in regard to this
notification
James Gunnell (801) 746-3700
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Name Area Code Telephone Number
(2) Have all other reports required under Section 13 or 15 (b) of the
Securities and Exchange Act of 1934 or Section 30 or the Investments
Act of 1940 during the preceding 12 months (or for such shorter) period
that the Registrant was required to file such reports been filed? If
answer is no, identify report(s).
[X] Yes [ ] No
(3) Is it anticipated that any significant change in results of operations
from the corresponding period for the last fiscal year will be
reflected by the earnings statements to be included in the subject
report or portion thereof?
[X] Yes [ ] No
If so, attach an explanation of the anticipated change, both
narratively and quantitatively, and, if appropriate, state the reasons
why a reasonable estimate of the results cannot be made.
In 2005, the Company changed its fiscal year end from December 31 to
September 30. Therefore the financial information provided herein for
2005 covers the period from January 1, 2005 to September 30, 2005 (the
"2005 transition period"). By comparison the information provided
herein for 2006 covers the full twelve-month period from October 1,
2005 to September 30, 2006.
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The Company anticipates that during the fiscal year ended September 30,
2006, total revenues shall have increased 131% respectively compared to
the 2005 transition period. This is attributable to several factors
including, increased geophysical operations and the consolidation of
Kazmorgeophysica, increased revenues from vessel operations as a result
of improved utilization, increased fleet size and improving day rates,
as well as, during the 2006 fiscal year we realized twelve months of
revenue, whereas during the 2005 transition period we realized only
nine months of revenue.
The Company expects total operating expenses to have increased
approximately 166% during the 2006 fiscal year compared to the 2005
transition period. This increase in operating expenses is attributable
to higher operating costs resulting from increases in personnel, higher
costs in goods resulting from inflation and the consolidation of
Kazmorgeophysica and the fact that in fiscal 2006 we realized twelve
months of expenses compared to nine months during the 2005 transition
period.
During the 2006 fiscal year the Company anticipates realizing net
income from operations of $1,611,000 compared to $3,083,000 during the
2005 transition period. The Company anticipates realizing net loss of
approximately $1,919,000 or $0.05 per share compared to net income of
approximately $1,351,000 or $0.04 per share during the 2005 transition
period.
Caspian Services, Inc.
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(Name of Registrant as Specified in Charter)
has caused this notification to be signed on its behalf by the
undersigned hereunto duly authorized.
Date: December 29, 2006 By: /s/ James Gunnell
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James Gunnell, Secretary
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