EQS-News

Petro Welt Technologies AG: PeWeTe Kazakhstan sales almost doubled and number of fracturing jobs increased to 229

EQS-News: Petro Welt Technologies AG / Key word(s): Half Year Report/Half Year Results Petro Welt Technologies AG: PeWeTe Kazakhstan sales almost doubled and number of fracturing jobs increased to 229 23.08.2023 / 16:00 CET/CEST The issuer is solely responsible for the content of this announcement.   Revenue of PeWeTe Kazakhstan increased by 48.1% to EUR 8.0 million Number of fracturing contracts increased to 229

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).