PETRO WELT TECHNOLOGIES AG
EQS-News: Petro Welt Technologies AG
/ Key word(s): Half Year Report/Half Year Results
Vienna, August 23, 2023 In the first half of 2023, PeWeTe Group’s revenue amounted to EUR 8.0 million, up 48.1% year-on-year (HY1 2022: EUR 5.4 million). This is mainly due to the performance of Petro Welt Technologies Kazakhstan, which is the only remaining operating unit of the Group after the sale of the Russian subsidiaries of the PeWeTe Group. Cost of sales from continuing operations amounted to EUR 6.3 million in the first six months of the year (HY1 2022: EUR 2.2 million). Three main factors were responsible for this increase: an increased number of employees and a shift in the job structure, increased depreciation costs due to the commissioning of a new fracturing fleet, and the elimination of intra-Group costs of EUR 1m for proppant, which was previously purchased from OOO Wellprop. Since the sale of the Russian subsidiaries, this proppant is no longer charged as intercompany cost, as OOO Wellprop is no longer part of the Group following the sale of the Russian companies. Accordingly, the company’s gross profit fell to EUR 1.6 million in the first half of 2023 (HY1 2022: EUR 3.2 million). At the same time, the PeWeTe Group recorded a decrease in its administrative costs by 33.3%, which is due to lower professional fees. Despite lower administrative costs, there was a negative operating result of EUR –1.1 million (HY1 2022: EUR –1.5 million). The increase in financing costs is mainly due to the loss from exchange rate differences resulting from the receivable from the sale of Russian subsidiaries recognized in roubles. Accordingly, the consolidated result before taxes fell to EUR –16.1 million in the reporting period (HY1 2022: EUR –1.0 million). Strong increase in sales in the Well Services and Stimulation segment The Well Services and Stimulation segment recorded a 48.1% increase in revenue to EUR 8.0 million in the first six months of 2023 (HY1 2022: EUR 5.4 million) due to increased demand for stimulation operations. This was mainly due to an increased number of jobs (HY1 2023: 229 jobs; HY1 2022: 203 jobs), representing a year-on-year growth of 12.8%, as well as a 30.7% improvement in average revenue per job due to executed orders from Acid Fracturing. Financial position Both current assets (–6.1%) and non-current assets (–11.9%) recorded decreases, mainly due to the devaluation of current and non-current receivables denominated in roubles. Non-current liabilities increased slightly due to interest incurred on a long-term loan to an affiliated company. Due to the negative financial result, PeWeTe’s equity decreased in the reporting period. Negative cash flow development
The Group recorded a negative cash flow from operating activities. The main reason for this development was the change in trade payables. Investments amounted to EUR 1.1 million, which were offset by cash inflows from interest and loans. Cash flow from investing activities therefore turned positive. Cash and cash equivalents amounted to EUR 56.4 million in the reporting period and thus decreased slightly compared to the beginning of the year (January 1, 2023: EUR 58.6 million).
About Petro Welt Technologies AG Petro Welt Technologies AG, a company domiciled in Vienna, Austria, had been one of the leading and oldest oilfield services (OFS) companies in Russia and the CIS specializing in services that increase the productivity of both new and existing oil & gas formations. Against the backdrop of the sanctions against Russia, the company has sold all its subsidiaries in this market and now operates exclusively in Kazakhstan.
Konstantin Huber (Male Huber Friends GmbH) Investor Relations T: +43 699 1172 68 14 huber@mhfriends.at
23.08.2023 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG. |
1710111 23.08.2023 CET/CEST
