Schoeller-Bleckmann Oilfield Equipment AG: Preliminary result for 2020
- Break-even operating result despite massive crisis
- Sound balance sheet due to large liquid funds and net liquidity
Ternitz/Vienna, 19 January 2021. Schoeller-Bleckmann Oilfield Equipment AG (SBO) met the challenges of 2020 with profound crisis expertise and targeted measures to reduce the negative effects of the COVID-19 pandemic. High liquidity and solid balance sheet strengthened the company's position. However, the exceptional global situation and associated drop in demand for oil and gas caused a decline in sales and earnings. The non-cash asset impairments at North American subsidiaries and restructuring expenses reported in the first half of 2020 in the amount of MEUR 21.3 had an additional impact on earnings.
According to the preliminary figures for 2020, SBO's sales arrived at MEUR 291 (2019: MEUR 445.3). The operating result was break-even, but impacted by foreign exchange losses of MEUR 7. Thus, profit from operations (EBIT) before non-recurring items was MEUR minus 6 (2019: MEUR 60.8), while EBIT after non-recurring items amounted to MEUR minus 28 (2019: MEUR 60.2). Profit before tax came to MEUR minus 31 (2019: MEUR 47.9). Due to the high positive cashflow and liquid funds of MEUR 314, the company recorded a net liquidity of MEUR 9 (2019: net debt MEUR 20.1).
"The COVID-19 pandemic has triggered a global economic crisis, which we naturally could not escape. However, in our cyclical industry, we are experienced in responding very promptly to a volatile environment. Our strong cash generation and sound balance sheet provide additional support in such phases," says CEO Gerald Grohmann. "At the end of the year, an upward trend began to emerge both in North America and in the international markets, confirming that the bottom had been reached and we are starting 2021 on a positive tendency, even if the level will remain low in the first half of the year."
Note: All figures related to 2020 are preliminary and rounded.
SBO is a leading supplier of tools and equipment for directional drilling and well completion applications and the global market leader in the manufacture of high-precision components made of non-magnetic steel. The product offering ranges from complex customized components for the oilfield service industry to a selection of high-efficiency solutions and products for the oil and gas industry. As of 31 December 2020, SBO employed a workforce of 1,131 worldwide (31 December 2019: 1,535), thereof 353 in Ternitz / Austria and 464 in North America (including Mexico).
Further inquiry note:
Andreas Böcskör, Corporate Communications
Schoeller-Bleckmann Oilfield Equipment AG
Phone: +43 2630 315 ext 252
E-Mail: a.boecskoer@sbo.co.at
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