Investor Relations

Schoeller-Bleckmann Oilfield Equipment AG: Bookings up 36 % in Q1 2005 – profit before tax rises to EUR 4.5 (following 3.1) million

 

Demand for oil continues to be high

 

Ternitz, May 20, 2005. For Schoeller-Bleckmann Oilfield Equipment AG (SBO), listed on the Vienna Stock Exchange, ATX segment, the first quarter of 2005 started off well. Profit before tax rose from EUR 3.1 million in Q1 of 2004 to EUR 4.5 million, which is an increase of 45%. In the first quarter of 2005 sales rose to EUR 36.2 million, following EUR 35.3 million in the same period of 2004. Adjusted for the decline of the dollar, sales worth approx. EUR 37.5 million were generated in the first quarter. 

 

Bookings received in the first three months of 2005 amounted to EUR 51.6 million, which is 36% above the figure achieved last year (Q1 of 2004: EUR 37.8 mill). The above-average order backlog as of end of March 2005 was EUR 51.5 mill (Dec. 31, 2004: EUR 38.8 mill).

 

 

 

In order to cover the expected rise in consumption and stimulated by the current oil price, international oil companies have started to increasingly invest in exploring new oil reservoirs. „The market for challenging directional drilling, the business focus of SBO, has also seen a significant upswing. This is reflected in the highest level of bookings in four years“, says Gerald Grohmann , CEO of Schoeller-Bleckmann Oilfield Equipment.

 

 

 

New production capacities, such as in Mexico, have started their activities in due time. Several production steps will now additionally be outsourced to optimally work off the high level of bookings.

 

 

 

The issue proceeds of EUR 54 million generated from the successfully completed capital increase of March 2005 is the basis of a strategic investment programme worth approx. EUR 100 million, which is scheduled to be completed by 2007. It contains both internal growth and acquisitions as well as setting up new sites in oil production centres such as Siberia. „We are currently reviewing several promising projects“, says Gerald Grohmann . 

 

 

 

Demand for oil continues to be high – good prospects for SBO in 2005

 

 

 

The demand for oil and gas continues to be strong. While the growth forecasts for Europe have been revised slightly downwards, business development in the US and Asia remains robust and therefore sustains the continuing high demand for oil. „This growth needs energy, which makes us feel optimistic about the current business year 2005“, says Gerald Grohmann about the business prospects.

 

 

 

 

 

 

 

 

 

 

 

Comparison of key figures in MEUR

 

 

 

	1-3 2005	1-3 2004
Sales	36.2	35.3
EBIT	4.9	3.6
EBIT margin (%)	13.6	10.1
Profit before tax	4.5	3.1
Net income	3.2	2.1
EPS*	0.25	0.16
Headcount**	827	802

 

 

* based on average shares outstanding

 

** Reporting date March 31

 

 

 

 

 

Schoeller-Bleckmann Oilfield Equipment AG is the global market leader in high-precision components for the oilfield service industry. The business focus is on non-magnetic drillstring components for directional drilling. Worldwide, SBO employs a workforce of 827 (Dec. 31, 2004: 837), currently 214 in the company headquarters at Ternitz, Lower , and 426 in North America (including ).

 

 

 

 

 

For further information please contact:

 

Gerald Grohmann, Chief Executive Officer

 

Schoeller-Bleckmann Oilfield Equipment AG

 

A-2630 Ternitz, Hauptstraße 2
Tel: +43 2630/315 ext. 110, fax: ext. 101

 

E-Mail: sboe@sbo.co.at

 

 

 

Mick Stempel, Hochegger|Financials
Tel :+43 1/504 69 87 ext. 85

 

E-Mail: m.stempel@hochegger.com

 

 

 

 

 

 

 

 

 

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