Consolidated financial statements, higher forecast for 2022, forecast for 2023 and dividend proposal
April 25, 2022 Deutsche Rohstoff AG today published the final consolidated financial statements for 2021. In this context, the company raises the forecast for fiscal year 2022.
Group earnings in 2021 EUR 5.32 per share/EBITDA-Forecast 2022 raised to EUR 110-120 million/Dividend 60 Cents
Mannheim. Deutsche Rohstoff AG today published the final consolidated financial statements for 2021. In this context, the company raises the forecast for fiscal year 2022 as follows:
Base scenario 2022:
Group sales: EUR 130 to 140 million (previously EUR 126 to 134 million)
EBITDA: EUR 110 to 120 million (previously EUR 97 to 102 million)
This base scenario is based on an oil price of USD 85/barrel, a gas price of USD 4/MMbtu and a EUR/USD exchange rate of 1.12 for the remainder of 2022.
For the fiscal year 2023, the Executive Board expects the following figures for sales and earnings in the base scenario (oil price USD 75/barrel, gas price USD 4/MMbtu; EUR/USD 1.12):
Base scenario 2023:
Group sales: EUR 125 to 135 million
EBITDA: EUR 100 to 110 million
The company’s management report published today also includes a scenario with an oil price of 92 USD/barrel for the rest of 2022 and an oil price of 85 USD/barrel for 2023, assuming the same gas price and EUR/USD exchange rate. It leads to the following forecast:
Increased price scenario 2022:
Sales: 140 to 150 million EUR
EBITDA: 120 to 130 million EUR
Increased price scenario 2023:
Group revenue 2023: 140 to 150 million EUR
EBITDA 2023: EUR 115 to 125 million
The Executive Board expects to be able to achieve a clearly positive consolidated result in both years.
The Executive Board and Supervisory Board will also propose to the Annual General Meeting, which will be held as a virtual Annual General Meeting on 28 June 2022, to distribute a dividend of 60 cents per share for the fiscal year 2021. Shareholders will be offered the opportunity to receive the dividend in the form of new shares.
The consolidated financial statements can be accessed here in German as of today (an English Version of the Annual Report will follow shortly).
For the definition of EBITDA, please refer to the Deutsche Rohstoff AG website at https://rohstoff.de/en/apm/.
Explanatory notes
The Deutsche Rohstoff Group achieved sales of EUR 73.3 million (previous year: EUR 38.7 million), EBITDA of EUR 66.1 million (previous year: EUR 23.9 million) and consolidated net income of EUR 26.4 million (previous year: EUR -16.1 million; all figures according to the German Commercial Code (HGB) and audited) in fiscal year 2021, which corresponds to earnings per share of EUR 5.32. The final figures for EBITDA and net income are slightly higher than the published preliminary results. The annual report for the fiscal year 2021 of the Deutsche Rohstoff Group is available on the company’s website at www.rohstoff.de.
The start to the 2022 financial year was positive. As expected, production from the Knight wells increased significantly in the course of the first quarter. In March, the Company was already producing approximately 3,500 barrels of oil per day (BOPD). So far in April, daily production has increased to around 4,500 BOPD. The highest production is still expected in May/June. The detailed quarterly report for the first quarter of 2022 will be released in the coming days. Daily production for 2022 is expected to be around 9,300-10,000 BOE, about half of which will be oil.
The capital expenditure budget as part of the forecast for drilling in Utah and Wyoming is EUR 58 million for 2022 and EUR 50 million for 2023. Cub Creek plans to start a drilling program in Wyoming in the second half of 2022 with five wells (80% share) and an investment volume of about USD 40 million. Salt Creek continues to expect the start of production from the first wells under the collaboration with Oxy in the fourth quarter of 2022. Salt Creek will invest a total of approximately USD 65 million in 18 wells. Additional interests in drilling by subsidiaries, particularly Bright Rock in Utah, account for about USD 15 million of investments.
In April, Deutsche Rohstoff USA received the long-awaited tax refund for the fiscal year 2019. With interest, this amounts to around USD 7.6 million.
Mannheim, 25 April 2022
Deutsche Rohstoff identifies, develops and sells attractive raw material deposits in North America, Australia and Europe. The focus is on the development of oil and gas deposits in the USA. Metals such as gold and tungsten complete the portfolio. Further information can be found at www.rohstoff.de
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