26th Jul 2007 07:01
Expro International Group PLC26 July 2007 26 July 2007 EXPRO INTERNATIONAL GROUP PLC ("Expro" or "the Group") Interim Management Statement Expro International Group PLC, the oil field services company, today issues anInterim Management Statement for the quarter ended 30 June 2007 under the UKListing Authority's Transparency and Disclosure requirements. Quarter 1 Performance The first quarter of the 2007/08 financial year has seen continued growth inrevenue on a like for like basis compared to the prior year, despite the twineffects of foreign exchange and the ending of the exceptional Production Systemscontract for Chayvo, which concluded in the third quarter last year. In recentyears continued weakening of USD has provided a steady headwind to Expro'sperformance and 2007/8 is no exception, with sterling strengthening from 1.81(Q1 2006/7) to 1.98 (Q1 2007/8). This currency movement alone corresponds to a9.4% revenue headwind against which the business has delivered excellent growth.As expected, the underlying operating margin has continued to increase,following the trend of sequential margin improvements that have been a featureof recent results. There have been no significant changes to the balance sheet. During the first quarter we completed the disposal of ECGI in Canada, markingour successful withdrawal from this commodity land market. In Asia we formed ajoint venture with China Oilfield Services Limited, further enhancing ourrelationships with national oil companies and indigenous service companies. As announced on 27 June 2007, Expro has signed a letter of intent with BP plc todevelop and commercialise Expro's AX-S(TM) subsea intervention system. The lettersignifies a clear intent by both parties to reach a mutually agreeable positionto develop and exploit the full potential of Expro's AX-S(TM) technology. Outlook The outlook for future periods remains positive, with both short term tradingand macro economic indicators supporting this view. Indeed, recent comments fromthe International Energy Agency highlight that increasing world energy demand isunlikely to be met without increased service intensity and new technologies toenhance recovery and support the development of challenging reserves. Therefore,the Board is confident that the Group will meet expectations for the currentyear and believes that the outlook for future periods remains positive. - Ends - For further information please contact: Expro International Group PLC 0118 959 1341Graeme Coutts, Chief Executive Michael Speakman, Finance Director Weber Shandwick Financial 020 7067 0700Nick Oborne / Rachel Taylor / Stephanie Badjonat Notes to EditorsExpro's business is well flow management. Expro is a leading provider ofproducts and services that measure, improve, control and process flow fromhigh-value oil and gas wells. Key niche businesses must be able to command andsustain market share leadership through a combination of technologicalpre-eminence and/or operational economies of scale. They will have a highknowledge and service content and will be able to anticipate, meet and exceedcustomers' expectations. With its head office in the UK, Expro employs more than4,000 highly-trained staff in 50 countries. For more information, please visitthe Expro website www.exprogroup.com This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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