The oil field equipment supplier's turnover fell by almost a third year-on-year to EUR 236.4 million.
The oil field equipment supplier SBO, which is listed in the Vienna leading index ATX, continues to struggle with the low demand for oil caused by the corona and suffered a slump in sales and earnings in the first three quarters.
Sales fell by almost a third to EUR 236.4 million, and earnings after taxes turned into the red to EUR -21.3 million, after a profit of EUR 26.6 million had been reported in the same period of the previous year .
“After the abrupt downturn in the first half of the year, the oil markets have stabilized. However, the demand for crude oil was still too low for a sustainable recovery,” said SBO boss Gerald Grohmann on Thursday, according to the announcement. Grohmann, however, refers to the high level of liquid funds amounting to 322 million euros, with which one is well positioned to get through the crisis.
Depreciation
As of June 30th, Schoeller Bleckmann Oilfield Equipment made write-downs on the subsidiaries in North America in the amount of 20.5 million euros, which are not cash-effective, but depress earnings. The operating result (EBIT) before one-off items remained positive at EUR 1.1 million.
The EBIT after one-off effects amounted to minus 19.8 million euros. SBO generated an operating cash flow of EUR 81.3 million in the first nine months of 2020 and was therefore able to report a net liquidity of EUR 10.5 million. Gearing (gearing) improved to minus 3.5 percent. Cash and cash equivalents rose to EUR 322.0 million (December 31, 2019: EUR 265.2 million).
“The valley seems to have already been reached,” says Grohmann. He expects a significant recovery in the second half of 2021, if the corona effects can be effectively combated by then.
