Schoeller-Bleckmann Oilfield Equipment AG
euro adhoc: Schoeller-Bleckmann Oilfield Equipment AG
quarterly or semiannual
financial statement
Schoeller-Bleckmann Oilfield Equipment AG: Record
quarterly results for sales and profit before tax - profit before tax up 75 % in
first quarter of 2007
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
3-month report
23.05.2007
Ternitz, 23 May 2007. Schoeller-Bleckmann Oilfield Equipment AG (SBO), listed on the prime market of the Vienna Stock Exchange, continued its course of growth of the best-ever year 2006 in the first quarter of 2007. Sales revenues went up 35 %, from MEUR 52.6 in the first quarter of 2006 to now MEUR 70.8. EBIT grew 70 %, from MEUR 9.4 in the first quarter of 2006 to currently MEUR 15.9. Profit before tax in the first quarter of 2007 climbed 75 % to MEUR 15.8, following MEUR 9.0, net income was up 77 % to MEUR 11.5, following MEUR 6.5 year-on-year.
This record result is mainly due to production increases and improved margins. The EBIT margin climbed to an all-time high in the first quarter of 2007 of 22.5 % (Q1/2006: 17.8 %), exceeding the already excellent result for full fiscal 2006 of 20.1 %.
"As we decided early to pursue a strategy of growth involving large-scale capital spending, we could perfectly benefit from the positive environment in the oilfield service industry also in the first quarter of 2007. The international oil companies continue their massive investments in ex-ploration and production activities to brace themselves for the increasing demand in the next years. Currently, no end of the upward cycle in the oilfield service industry is in sight", says Gerald Grohmann, SBO´s Chief Executive Officer.
The order backlog at the end of the first quarter of 2007 further rose by 43 % to MEUR 230.4, as compared to MEUR 160.8 in the first quarter of 2006. Bookings stood at MEUR 67.4, nominally below the result of MEUR 77.1 in the first quarter of 2006, as they do not include the multi-year long-term delivery contracts concluded with some customers of SBO in the first quarter of 2007. Furthermore, some customers finalised their planning for 2008 - the basis of their orders - only at the end of the first quarter of 2007.
Capital spending programme for capacity expansion stepped up Capacity expansion investments were continued throughout the first quarter of 2007. They were used, on the one hand, for the constant extension of manufacturing equipment mainly at the Ternitz and Houston sites and, on the other hand, to push ahead with the new production plant at Ternitz to fulfil the recently concluded long-term delivery contracts with our customers. The new plant is scheduled to go on stream in the first quarter of 2008. In addition, the new rotary forging machine at Ternitz was commissioned successfully. Also at Ternitz, an industrial area covering an additional 16,000 m² was acquired. At our American subsidiaries Knust und Godwin, Houston, we extended our production area. Specifically, adjacent land covering in total around 13.5 acres was secured for the purpose of strategic expansion. For the full fiscal year 2007, capital expenditures implemented or approved by now amounted to around MEUR 60.
The major challenges we face in the months ahead will be the speedy expansion of capacities and the enormous growth of our company, also with respect to our headcount. A potential exposure may arise if the dollar/euro exchange rate continues to develop unfavourably. All things considered, however, we are confident that the bottomline in full 2007 will again be excellent, if the overall economic environment remains positive.
Comparison of key figures in MEUR
1-3/2007 1-3/2006 Sales 70.8 52.6 EBIT 15.9 9.4 EBIT margin (%) 22.5 17.8 Profit before tax 15.8 9.0 Net income 11.5 6.5 EPS in EUR * 0.72 0.41 Headcount ** 1,119 964
* based on average shares outstanding ** Reporting date 31 March
Schoeller-Bleckmann Oilfield Equipment AG is the global market leader in high-precision com-ponents for the oilfield service industry. The business focus is on non-magnetic drillstring com-ponents for directional drilling. Worldwide, SBO employs a workforce of 1,119 (31 Dec. 2006: 1,086), 325 at Ternitz/Austria and 568 in North America (including Mexico).
end of announcement euro adhoc 23.05.2007 07:50:00
Further inquiry note:
Gerald Grohmann, Chief Executive Officer,
Schoeller-Bleckmann Oilfield Equipment AG,
A-2630 Ternitz, Hauptstraße 2,
Tel: +43 2630/315 ext 110, fax: DW 101,
E-mail: sboe@sbo.co.at
Mick Stempel, Hochegger|Financials,
Tel: +43 1/504 69 87 ext DW 85,
E-mail: m.stempel@hochegger.com
Branche: Oil & Gas - Upstream activities
ISIN: AT0000946652
WKN: 907391
Index: WBI, ATX Prime
Börsen: Wiener Börse AG / official dealing