Daldrup & Söhne realigns business to focus on geothermal drilling

Daldrup & Söhne AG’s management board has proposed a realignment of the group to the supervisory board. The move comes following its reporting negative earnings before interest, taxes, depreciation and amortization (EBITDA) of €12.4 million (US$13.9 million), which meant it missed its forecast target for the 2018 financial year with a total operating performance of around €40 million and the targeted EBIT interval of 2 to 5 per cent of total operating performance. The total consolidated net loss for the year amounts to €18.5 million.
Daldrup & Söhne realigns business to focus on geothermal drilling Daldrup & Söhne realigns business to focus on geothermal drilling Daldrup & Söhne realigns business to focus on geothermal drilling Daldrup & Söhne realigns business to focus on geothermal drilling Daldrup & Söhne realigns business to focus on geothermal drilling

Daldrup & Söhne is realigning its business to focus on geothermal drilling

In order to avoid cluster risks, Daldrup & Söhne AG endeavours to be represented only as a minority shareholder in the participations for energy generation (project companies for power plants) and energy marketing (operating companies for power plants).

Daldrup will further expand its core business as a drilling service provider in the field of shallow and deep geothermal energy. In future, the focus will be on economically attractive overall geothermal projects - such as turnkey heating plants - and on high-margin water extraction projects, deep exploration drilling and EDS (environment, development & services) projects.

Daldrup & Söhne AG's drilling business order backlog at the end of May 2019 was around €48 million. The order pipeline is also satisfactorily filled with future order volumes with a volume of €105 million. The operating deficits incurred to this extent in fiscal year 2018 are no longer to be expected for financial year 2019.

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