28th Feb 2005 07:03
Roc Oil Company Limited28 February 2005 28 February 2005 ROC OIL COMPANY LIMITED STOCK EXCHANGE RELEASE SUMMARY OF ROC'S 2004 FINANCIAL RESULTS -------------------------------------------------------------------------------- KEY POINT: • ROC's 2004 results should be viewed in conjunction with two key transactions that were initiated in late 2004 and completed by the Company in January 2005, both of which further strengthened ROC's financial position: the very profitable sale of the Saltfleetby Gas Field and the placement of almost 10 million shares at a premium to market. Together these transactions increased ROC's net cash position by approximately A$130 million to over A$200 million, as at the beginning of 2005. -------------------------------------------------------------------------------- Today, ROC released its ASX Preliminary Final Report (Appendix 4E) and itsDirectors' Report and Annual Financial Report for the Financial Year ended 31December 2004, the key elements of which are summarised below and in Attachment1. • $38.8 million net loss after tax, a $41.8 million reversal compared to a $3.0 million net profit after tax for the 2003 financial year. The net loss equates to 23.8 cents per share. • $17.2 million trading profit, down $13.8 million (45%) on 2003. • $38.3 million sales revenue, down $19.0 million (33%) on 2003, due to a 40% lower production. • $14.5 million cash flow from operating activities, down $17.9 million (55%) on 2003, equates to $0.09/share. • Year-end cash assets, $76.0 million, up $34.4 million (83%) compared to end-2003, which increased by an additional $109 million after the completion of the sale of the Saltfleetby Gas Field. • The Company has no borrowings at year end compared to $18.1 million in 2003. • $39.7 million exploration expenditure, $6.6 million (14%) less than the prior Financial Year. • $14.0 million EBITDAX*, down $17.5 million (56%) on 2003. An analysis of the 2004 financial results, together with a comparison with theprior financial year, is provided in the attached table. Commenting on the 2004 financial results, ROC's Chief Executive, Dr John Doranstated that: "For all practical purposes, ROC began 2005 with over A$200 million in cash andno debt. As such, ROC's Financial Results for 2004 are over-arched by itsgreatly enhanced 2005 Balance Sheet. Applying the strength of this Balance Sheetin an optimal manner in a buoyant industry and market will be one of ROC's mainchallenges for 2005." Dr John DoranChief Executive Officer *EBITDAX is calculated as EBITDA before asset write downs and exploration expenditure written off and expensed. For copies of the complete 2004 financial statements, please see ROC's website:http://www.rocoil.com.au/Pages/ASX_Releases/2005_Releases/February-2005.html For further information please contact: Dr John Doran on Tel: +61-2-8356-2000 Fax: +61-2-9380-2635 Email: [email protected] Or visit ROC's website: www.rocoil.com.au Dr Kevin Hird General Manager Business Development Tel: +44 (0)207 586 7935 Fax: +44 (0)207 722 3919 Email: [email protected] Nick Lambert Bell Pottinger Corporate & Financial Tel: +44 (0)207 861 3232 ATTACHMENT 1 ANALYSIS OF FINANCIAL RESULTS A summary of the key items contributing to the result is provided as follows: +-------------------------------------------------+------------+------------+| | 2004| 2003|| | $million| $million|+-------------------------------------------------+------------+------------+|Sales revenue | 38.3| 57.3|+-------------------------------------------------+------------+------------+|Trading profit | 17.2| 31.0|+-------------------------------------------------+------------+------------+|Net interest income | 2.5| 1.1|+-------------------------------------------------+------------+------------+|Net foreign currency losses | (2.0)| (5.8)|+-------------------------------------------------+------------+------------+|Exploration expenditure expensed and written off | (46.9)| (8.5)|+-------------------------------------------------+------------+------------+|Profit on sale of non-core UK assets(1) | -| 2.6|+-------------------------------------------------+------------+------------+|Profit on sale of non-current assets | 0.1| 0.8|+-------------------------------------------------+------------+------------+|Other (including administration costs and other | (12.6)| (10.1)||provisions) | | |+-------------------------------------------------+------------+------------+|(Loss)/Profit before Income Tax Expense | (41.7)| 11.1|+-------------------------------------------------+------------+------------+|Income tax expense - current period | (2.5)| (9.4)|+-------------------------------------------------+------------+------------+| - prior period | (0.1)| 2.8|+-------------------------------------------------+------------+------------+|Deferred income tax - current period | 5.5| (1.5)|+-------------------------------------------------+------------+------------+|Total Income Tax Benefit/(Expense) | 2.9| (8.1)|+-------------------------------------------------+------------+------------+|Net (Loss)/Profit after Income Tax Expense | (38.8)| 3.0|+-------------------------------------------------+------------+------------+ (1) Does not include the sale of Saltfleetby Gas Field This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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