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Ternitz/Vienna, 8 March 2012. Schoeller-Bleckmann Oilfield Equipment AG (SBO),
listed on the ATX market of the Vienna Stock Exchange, in fiscal 2011 seamlessly
followed on the sound upwards development of the preceding financial year.
Bookings, consolidated sales, EBITDA and EBIT not only significantly exceeded
last year's levels, but also the relevant figures in the former record year
Growing by 28.4 % to MEUR 460.5 (following MEUR 358.6 in 2010) bookings climbed
to a new high in 2011. Consolidated sales generated in 2011 went to MEUR 408.6,
up 32.8 % (MEUR 307.7) from 2010.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) of MEUR
125.0 were 46.9 % above previous year's MEUR 85.1. Earnings before interest and
taxes (EBIT) arrived at MEUR 90.2, increasing by 82.7 % from MEUR 49.4 in 2010.
The 2011 EBITDA margin grew from 27.6 % to 30.6 %, the EBIT margin from 16.0 %
to 22.1 %. Annual profit after tax arrived at MEUR 53.4, up 95.5 % from MEUR
27.3 in 2010.
Due to the strong result, the Executive Board will propose to the forthcoming
Annual General Meeting a dividend increase to EUR 1.20 (following EUR 1.00) per
share for fiscal 2011. Based on the current share price, this represents a
dividend yield of approximately 1.8 %.
Market development 2011
Given the growing demand for oil and gas, the oilfield service industry remained
largely unaffected by the global economic slowdown in 2011. Oil demand in the
emerging markets more than offset the declining demand in OECD countries.
Additionally, oil companies ramped up their spending for developing new oil and
gas reservoirs in 2011. Also, the global rig count, the parameter of globally
active drilling rigs, grew by 12 % from December 2010 to December 2011.
Business performance 2011
Growing order volumes resulted in constantly increasing capacity utilisation in
the course of the year. Strong bookings were recorded essentially in all
segments of SBO. While the order backlog had been MEUR 137.1 in mid-2011, it was
climbing to MEUR 176.4 (up 34.8 % from year-end 2010) at the end of the year,
reaching far into the first half of 2012. The rising order volume was
accommodated in 2011 by personnel upsizing, expanding shift operations, and
In the segment of high-precision components, SBO benefited from its global
market leadership and growth in directional drilling.
As for high-performance drilling motors, SBO's subsidiary BICO continued to
expand market leadership through the new high-performance drilling motor "Spiro
Star Supreme". Moreover, very strong demand for drilling motors was generally
seen in North America as a result of growing shale drilling activities.
Knust-SBO Far East in Singapore started operations in December 2011 as planned.
Like SBO's subsidiary in Vietnam, which went operational in 2010, the company
will cover the growing local demand for SBO products in the Far East.
According to forecasts of OPEC and the International Energy Agency (IEA), oil
demand from the emerging markets will result in further growth of global oil
consumption in 2012.
This is why Schoeller-Bleckmann Oilfield Equipment AG generally expects to see a
positive industry development also in 2012, following the sound development in
Due to the low gas price in the United States SBO expects the rig count to
remain at a stable level there, if the decreasing number of gas wells continues
to be offset by growing oil drilling activity. Internationally, notably the
rising numbers of deepwater drilling projects should have a positive effect on
drilling activity, for instance in the North Sea, Brazil or West Africa.
At the same time, however, SBO is also aware of the cyclical uncertainties that
might have repercussions on the oilfield service industry above all in the
emerging markets, if a sustained economic slowdown should set in. However,
Schoeller-Bleckmann Oilfield Equipment AG currently does not consider this
scenario as the most likely one to occur. Low OPEC spare capacity and the robust
oil consumption expected for 2012 should have a continued positive effect on oil
The long-term growth tendency for the oilfield service industry is beyond any
doubt, as was again evidenced by the favourable development of the industry in
2011. While global demand for energy is constantly growing, production rates of
existing oilfields are declining. Development of new oil and gas reservoirs
requires increasingly challenging technological efforts. This fact has been, and
will be, the driving force behind the growth of Schoeller-Bleckmann Oilfield
Equipment AG in the years ahead.
New major investment to be implemented at Ternitz site
Due to the positive market prospects SBO's executive board has decided to
implement a new large-scale investment programme for the Ternitz site. The
investment volume of approximately EUR 54 will be spent on building a new
machining centre for non-magnetic oilfield service drillstring components. The
investment is scheduled for staged implementation over a period of about two
"The positive demand and market assessment of our customers prompts us to take
this investment decision. This programme is the prerequisite of further growing
our core business", says Gerald Grohmann, CEO of SBO. The new production
facility will also help to unbundle the existing plants at the site in Ternitz,
which no longer meet the growing demands in terms of material flow and
logistics. The large-scale project will be financed primarily from the company's
Key financial figures: 2011 2010 Change in %
Sales MEUR 408.6 307.7 + 32.8
Earnings before interest, taxes,
depreciation and amortisation (EBITDA) MEUR 125.0 85.1 + 46.9
EBITDA margin % 30.6 27.6 -
Earnings before interest and taxes (EBIT) MEUR 90.2 49.4 + 82.7
EBIT margin % 22.1 16.0 -
Profit before tax MEUR 78.2 42.9 + 82.5
Profit after tax MEUR 53.4 27.3 + 95.5
Cash-flow from profit MEUR 91.7 64.9 + 41.3
Earnings per share EUR 3.33 1.71 + 94.4
Dividend per share EUR 1.20* 1.00 + 20.0
Headcount Number 1,459 1,275 + 14.4
end of ad-hoc-announcement
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. As of 31
December 2011, SBO has employed a workforce of 1459 worldwide (31 December 2010:
1275), thereof 412 in Ternitz/Austria and 635 in North America (including
SBO financial calendar 2012
25 April 2012 - Annual General Meeting
9 May 2012 - Ex-dividend day, dividend payment date
23 May 2012 - Result Q1 / 2012
22 August 2012 - Result H1 / 2012
21 November 2012 - Result Q3 / 2012
Further inquiry note:
MMag Florian Schütz, Head of Investor Relations
Schoeller-Bleckmann Oilfield Equipment AG
A-2630 Ternitz/Austria, Hauptstrasse 2
Tel.: +43 2630 315-251
Fax: +43 2630 315-501
end of announcement euro adhoc
issuer: Schoeller-Bleckmann Oilfield Equipment AG
sector: Oil & Gas - Upstream activities
indexes: WBI, ATX Prime, ATX
stockmarkets: official market: Wien