Message from the CEO
Drillcon Group's quarterly and annual reports.
2023 - Summary
DRILLCON Q4 REPORT
Continued growth, improved earnings, and cash flow
My expectation that the fourth quarter would continue in the same way as the previous period has been fulfilled, and the year ends with improved operating profit. The entrepreneurship that characterizes our organization, where we work together with targeted efforts for increased efficiency, has been a success factor. Everything is driven by motivated employees in Drillcon, which contributed to the positive situation we are now in and a good closure of 2023. Our revenue in the fourth quarter increased by 11.6 percent to SEK 117 million, driven by organic growth. The operating result before depreciation improved strongly and amounted to SEK 23.9 million for the period, which corresponds to 20.4 percent of the operating turnover. The operating cash flow improved by SEK 30.5 million and return on equity for the period ended up at 6.1 percent (6.0) and for the full year at 13.5 percent (2.5)
The underlying demand within Drillcon for the period was about the same level as in the third quarter. The driving forces for a structural profitable growth and willingness to invest remain unchanged in the organization. During the fourth quarter, a new drilling contract corresponding to a value between SEK 200-225 million was concluded. After the end of the report, a new contract was concluded in Iberia concerning exploration drilling to a value of SEK 70 million and a smaller raise drilling contract with a new customer to a value of approximately SEK 4 million. For the period January to December, we had an organic growth of 14.6 percent, which equal to SEK 474 M (415) and corresponds to 7.3 percent compared to the previous year's 0.8 percent.
Patrik Rylander - CEO