SBO posts highest 9-month sales and earnings figures in the past ten years
· Bookings at an all-time high of MEUR 431.1, sales increase to MEUR 361.3
· EBIT more than quadrupled to MEUR 72.6, profit after tax increased six-fold to MEUR 55.3
Ternitz, 24 November 2022. SCHOELLER-BLECKMANN OILFIELD EQUIPMENT Aktiengesellschaft (SBO), which is listed on the ATX leading index of the Vienna Stock Exchange, recorded the best development in a decade in the first nine months of 2022. Bookings arrived at their all-time high of MEUR 431.1. SBO's sales in the first nine months of the year climbed to MEUR 361.3, up 73 % year-on-year. EBIT increased by 350 %, standing at MEUR 72.6, and profit after tax grew six-fold to MEUR 55.3. Net liquidity rose to MEUR 37.8 and gearing improved further to minus 8.5 %.
Gerald Grohmann, CEO of SBO: "High investment requirements in the exploration and production of oil and gas support demand for our products and services, which exceeded our expectations in the first three quarters of 2022. We are growing in all regions and product areas and see the best development in around a decade. Thus, we are heading for an extremely strong year."
Sales and earnings development at a 10-year high
Bookings at SBO picked up sharply in the first nine months of 2022, arriving at a record level of MEUR 431.1 (1-9/2021: MEUR 237.1, up by 82 %). Sales soared to MEUR 361.3 (1-9/2021: MEUR 208.3, up by 73 %). The order backlog at the end of September stood at MEUR 189.5 (31 December 2021: MEUR 111.7).
Earnings before interest, taxes, depreciation, and amortization (EBITDA) increased to MEUR 96.8 in 2022, following MEUR 40.1 in the first three quarters of 2021, and the EBITDA margin went up to 26.8 % (1-9/2021: 19.2 %). Profit from operations (EBIT) came to MEUR 72.6, more than quadrupling year-on-year (1-9/2021: MEUR 16.1)
Profit before and after tax developed even better: SBO generated a pre-tax result of MEUR 69.9 (1- 9/2021: MEUR 12.7, up by 450 %), whereas profit after tax increased six-fold compared to the previous year to MEUR 55.3 (1-9/2021: MEUR 8.9, up by 523 %). Earnings per share also increased clearly to EUR 3.52 in the first three quarters of 2022 (1-9/2021: EUR 0.57). The strong US dollar compared to the euro had a supportive effect.
"Energy security is a global concern and part of our strategy. As policymakers and energy markets failed to take the required decisions in the past, there is a strong need for action resulting in high demand for oil and gas. This means that our growth engine is running at full speed, and business is booming like it has not been for a long time. This is also reflected in our sequential quarterly development, as we have achieved continuous growth since summer 2020", comments SBO’s CEO Gerald Grohmann
Both segments record strong growth
SBO's business is divided into two segments, Advanced Manufacturing & Services (AMS) and Oilfield Equipment (OE). While sales generated by the AMS segment increased to MEUR 181.9 in the first nine months (1-9/2021: MEUR 102.8), profit from operations (EBIT) quadrupled to MEUR 34.2 (1-9/2021: MEUR 8.5). Sales in the OE segment rose to MEUR 179.4 (1-9/2021: MEUR 105.5), and EBIT more than quintupled to MEUR 32.9 (1-9/2021: MEUR 6.3).
Balance sheet further improved
In the first three quarters of 2022, SBO’s equity increased significantly to MEUR 446.5 (31 December 2021: MEUR 340.9). SBO’s equity ratio went up to 47.4 % (31 December 2021: 42.3 %). Net liquidity was at high MEUR 37.8 (31 December 2021: MEUR 9.9). Gearing further improved to minus 8.5 % (31 December 2021: minus 2.9 %). Liquid funds also increased to MEUR 295.7 (31 December 2021: MEUR 291.8). Cashflow from operating activities arrived at MEUR 24.1 in the first three quarters (1-9/2021: MEUR 20.8). Capital expenditure in property, plant and equipment and intangible assets (CAPEX) came to MEUR 21.4 (1-9/2020: MEUR 13.8)
Positive Outlook for 2023
Despite slowing global economic growth and fears of recession, energy fundamentals remain strong. The growing need for energy security should lead to a much-needed increase in spending. As a result, the industry is looking to another year of growth in 2023. Increased investment in the exploration and production of new oil and gas fields in regions outside Russia, international efforts to ensure energy independence from Russia, low OPEC reserve capacity, low oil inventories, rising demand and SBO's high order backlog, which currently stands at MEUR 189.5, confirm a positive outlook for the year 2023.
"Despite concerns about the development of the global economy, the energy markets are indicating a multi-year upswing. In the current year, we managed to grow dynamically with the market and expect to see a continuation in 2023. Our order books are full, and in some areas orders extend into the third quarter of 2023. We expect spending in exploration and production to increase further, giving us tailwind into the next year", says SBO’s CEO Gerald Grohmann.
SBO’s Key Performance Indicators at a glance
|
|
|
1-9/2022 |
1-9/2021 |
|
Sales |
MEUR |
361.3 |
208.3 |
|
Earnings before interest, taxes, depreciation and amortization (EBITDA) |
MEUR |
96.8 |
40.1 |
|
EBITDA margin |
% |
26.8 |
19.2 |
|
Earnings before interest and taxes (EBIT) |
MEUR |
72.6 |
16.1 |
|
EBIT margin |
% |
20.1 |
7.7 |
|
Profit before tax |
MEUR |
69.9 |
12.7 |
|
Profit after tax |
MEUR |
55.3 |
8.9 |
|
Earnings per share |
EUR |
3.52 |
0.57 |
|
Cashflow from operating activities |
MEUR |
24.1 |
20.8 |
|
Liquid funds as of 30 September 2022 / |
MEUR |
295.7 |
291.8 |
|
Net liquidity as of 30 September 2022 / |
MEUR |
37.8 |
9.9 |
|
Headcount as of 30 September 2022 / |
|
1,490 |
1,267 |
SCHOELLER-BLECKMANN OILFIELD EQUIPMENT Aktiengesellschaft (SBO) is the global market leader in the manufacture of high-alloy, non-magnetic stainless steels and high-precision manufacture of stainless steels into special components for the oil, gas and other industries by applying innovative traditional and additive technologies such as Direct Metal Laser Sintering (DMLS), a 3D metal printing technology. The SBO Group is equally recognized worldwide for its high-efficiency drilling tools and equipment for the oil and gas industry. Strong intellectual property protection offers significant competitive advantages. Product and process innovations, including the Direct Metal Laser Sintering (DMLS) 3D printing technology, support the leading position of SBO in the oil and gas industry and other sectors. The Group employs a workforce of about 1,500 worldwide and is successfully positioned in technologically demanding, profitable niches. Making an active contribution to energy transition is a key element of the Group's Strategy 2030. With its high-quality products and technologies, the SBO Group already today provides for an increasingly efficient and environmentally friendly supply of energy. While oil and gas remain the most important energy sources, the company's new strategy is a response to changing environmental and climate targets. More detailed information on the Strategy 2030 and sustainable management (ESG) is available in the Annual Report 2021 at https://www.sbo.at/publikationen
Contact:
Andreas Böcskör, Group Communications
Schoeller-Bleckmann Oilfield Equipment AG
Tel: +43 2630 315 DW 252
E-Mail: a.boecskoer@sbo.co.at
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