GETECH Group plc - Interim results for the six months ended 31 January 2008
31 Mar 2008
Corporate statement
Founded in 1986, GETECH Group plc is a leading geoscience service company providing gravity and magnetic data and petroleum systems interpretation services to the oil and mining exploration industries. By making use of our data products and services early in their programmes, exploration companies can be more cost effective and focused in their decision making.
HIGHLIGHTS
* Turnover for six months: £2,235,000 (six months ended 31
January 2007:
£826,000).
* Profit before tax: £603,000 (six months ended 31 January 2007: loss £21,000).
* Interim dividend of 0.6p per share (2007: interim 0.4p, final 0.8p).
* Further licence of Arctic Shelf aeromagnetic data at a price
close to
£900,000.
* Board strengthened by the appointment of R Wolfson as CEO and
P Markwick as
Geological Director.
For further information, please contact:
GETECH Group plc
Derek Fairhead, Executive
Chairman
0113 322 2200
Raymond Wolfson, Chief
Executive
0113 322 2200
WH Ireland Limited
Richard Lindley 0113 394 6628
CHAIRMAN'S STATEMENT
I report the interim accounts of GETECH Group plc and its subsidiary company (collectively "GETECH"), the oil services business specialising in the provision of data, studies and services to the oil and mining exploration sectors, for the six month period to 31 January 2008.
Results
GETECH is pleased to report a group profit before tax of £603,630 (six months ended 31 January 2007: loss of £21,214) after interest receivable of £32,267 (six months ended 31 January 2007: £91,940) on turnover of £2,235,275 (six months ended 31 January 2007: £825,811). The post-tax profit was £413,897 (six months ended 31 January 2007: profit of £23,786).
The accounts have been prepared under IFRS, and I am pleased to report that no significant adjustments to the results were required.
Dividend
Your Board remains confident for the future and recommends an increased interim dividend of 0.6p per share, costing £166,153, on 8 May 2008 to shareholders on the register at 11 April 2008.
Business review
In line with our expectations, GETECH obtained a further order (total of two orders to date) for the Russian Arctic Shelf Aeromagnetic data and this was delivered and invoiced in December at a price close to £900,000.
Three major petroleum systems ("PSEG") studies will be completed in the current financial year. Advance marketing of these and other new studies has resulted in substantial pre-commitment orders from major oil companies, and we are confident that this demonstrates the high regard in which our first set of completed studies was held.
Overall, demand for the GETECH studies, services and data remains strong but we continue to be dependent on the combination of a stream of modest sized orders and the occasional very substantial order.
Outlook
Our reputation in the field of gravity and magnetic data and interpretation studies continues to be excellent. The substantial level of pre-commitments to our new studies gives us confidence that we have also established our credibility in the field of petroleum systems studies. We regard this as the first major step in broadening our presence in the market.
We now believe we are in a strong position to take forward various strands of our strategy for medium term growth. We continue to nurture our international relationships, particularly in Russia and China, and anticipate further opportunities crystallising in the near future. We are enhancing our portfolio of petroleum systems studies and we are actively examining various forms of acquisition.
Whilst we are very pleased with the result to January 2008, the outcome for the full financial year remains dependent on a number of significant contracts coming to fruition.
The background of the strong oil price, the imperative to discover new reserves and the pattern of purchases of GETECH's new and existing datasets and studies, leads GETECH to view the coming months and years with confidence.
Peter Stephens
Chairman
28 March 2008
The full text of this announcement is available on RNS.
