Anton Oilfield Services Group (3337) H1 2025 earnings summary

Executive summary

• Revenue for H1 2025 reached RMB2,631.1 million, up 20.9% year-on-year, with net profit rising 49.0% to RMB166.3 million and profit attributable to equity holders up 55.9% to RMB165.1 million.

• Overseas markets contributed 63.8% of revenue, with Iraq accounting for 55.0% and domestic revenue growing 43.0% year-on-year.

• The Group advanced its global strategy, deepened digital and AI-driven management, and completed a RMB73.0 million cash dividend for 2024.

• Share buybacks totaling 17,042,000 shares were executed and cancelled to stabilize share price.

• No interim dividend declared for H1 2025; full repayment of US$150 million senior notes completed.

Financial highlights

• Gross profit increased to RMB755.9 million (up from RMB658.6 million year-on-year); operating profit reached RMB353.1 million, up 15.3%.

• Net operating cash inflow was RMB370.0 million, up from RMB345.7 million year-on-year; free cash flow decreased to RMB173.0 million.

• Gearing ratio improved to 53.8% (down 1.3pp from Dec 2024); cash and bank deposits at RMB2,253.4 million.

• Net financing costs fell 31.5% year-on-year to RMB56.1 million.

• Capital expenditure rose to RMB156.6 million, up from RMB86.4 million year-on-year.

Outlook and guidance

• Expects continued global energy transition, with strong demand from emerging economies and stable natural gas prices.

• Will accelerate global expansion, focus on mature and emerging markets, and enhance AI and digital solutions.

• Plans to build a sustainable, replicable global business model and strengthen international competitiveness.

• Orders for H2 are larger and longer-term, supporting more predictable profits and higher returns.

• Gross margin expected to recover as new markets stabilize.