EANS-Adhoc: Schoeller-Bleckmann Oilfield Equipment AG / Substantial profit improvement in fiscal 2010 - Dividend proposal EUR 1.00 after EUR 0.50

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10.03.2011

Ternitz/Vienna, 10 March 2011. Schoeller-Bleckmann Oilfield Equipment
AG (SBO), listed on the ATX market of the Vienna Stock Exchange,
announces final results for fiscal 2010 at its annual press
conference.

Due to substantially increased bookings in 2010 amounting to MEUR
358.6 - up 222.7 % compared with the previous year - SBO
significantly improved all key performance indicators. In view of the
strong sales growth by 22.3 % to MEUR 307.7 (following MEUR 251.6 in
2009) and a steep rise in profit before tax by 82.7 % from MEUR 23.5
to MEUR 42.9 SBO brought fiscal 2010 to a highly satisfying end.

Earnings before interest, taxes, depreciation and amortisation
(EBITDA) arrived at MEUR 85.1, up 38.4 % from last year's MEUR 61.5.
Earnings before interest and taxes (EBIT) stood at MEUR 49.4,
increasing by 74.8 % from MEUR 28.2 in 2009. The EBITDA margin was
improved in fiscal 2010 from 24.4 % to 27.6 %, and the EBIT margin by
11.2 % to 16.0 %. Profit after tax came to MEUR 27.3, up 78.7 % from
MEUR 15.3 in 2009.

Due to the good result, the Executive Board will propose to the
forthcoming Annual General Meeting a dividend increase of EUR 1.00
per share for fiscal 2010 (following EUR 0.50 in the year before).
Based on the current share price, this represents a dividend yield of
approximately 1.6 %.

Market development 2010

The reasons for the recovery seen in the oilfield service industry
were increasing oil consumption due to a more stable worldwide
economic development, high demand for energy in the emerging markets
and rising oil prices. These factors triggered more spending for
production and exploration, which, in turn, was reflected in
substantially improved order volumes for the oilfield service
industry. However, the rebound did not yet create the market momentum
observed in the previous peak of the cycle between 2006 and 2008.

Business performance 2010

SBO rapidly ramped up production capacities to meet the growing
number of bookings. All segments of SBO profited from the market
recovery. The drilling motor business also recorded a highly positive
performance. At some locations additional personnel was hired. In
part, skilled labour that had to be dismissed due to the order
decline in 2009 could be recruited again.

SBO continued to pursue its strategy for growth also in the
challenging year 2009 and to build the new sites in Vietnam and
Brazil. Both companies got off to a good start in 2010.

In mid-September 2010 negotiations on the acquisition of Drilling
Systems International Ltd. (DSI) were completed successfully. The
acquisition was financed by using own resources and existing credit
facilities. DSI has been fully consolidated as of the beginning of
the fourth quarter of 2010.

Preliminary work on establishing a new production site of
US-subsidiary Knust-SBO in Singapore started in the fourth quarter of
2010. Knust intends to better cover the growing market for its
products (chassis/internals) in the Far East through its own
production on the spot. Production is scheduled to start up in stages
in the second half of 2011.

Outlook 2011

The tenor of forecasts on global economic development in fiscal 2011
is basically positive. Should the global economy, as expected by the
IMF, grow by 4.4 % in 2011, demand for oil and gas will continue to
rise. At the same time, however, the geopolitical development
particularly in the Arab region must be closely monitored, as it may
have unforeseeable effects on the global economy and the oilfield
service industry.

According to IEA forecasts of February 2011, average global demand
for oil in 2011 will be 89.3 million barrels per day, representing an
increase of 1.7 % compared with 2010. Rebounding demand for oil and
gas is the driving force behind increased exploration and production
spending. Analysts predict that 2011 will see global capital
expenditure in the sector to go up by 11 % from 2010 to USD 490
billion.

For 2011, Schoeller-Bleckmann Oilfield Equipment AG anticipates
business performance to remain positive, given a stable global
economic development. However, at the beginning of 2011 there are
still overcapacities in the market, and some of SBO's customers have
not yet fully drawn down their inventories.

As the global market leader in high-precision components for the
oilfield service industry Schoeller-Bleckmann Oilfield Equipment AG
is perfectly prepared to make full use of a new cyclical upswing. The
rapid recovery of the industry cycle in fiscal 2010 after the decline
seen in 2009 confirms the long-term tendency within the industry.
Declining production rates of existing oil fields and the
increasingly challenging and complex search for new oil reservoirs
will remain stable drivers of growth in demand for products of
Schoeller-Bleckmann Oilfield Equipment AG.

Key financial figures:

2010 2009 Change in %
Sales MEUR 307.7 251.6 + 22.3
Earnings before interest,
taxes, depreciation and
amortisation (EBITDA) MEUR 85.1 61.5 + 38.4
EBITDA margin % 27.6 24.4 -
Earnings before interest
and taxes (EBIT) MEUR 49.4 28.2 + 74.8
EBIT margin % 16.0 11.2 -
Profit before tax MEUR 42.9 23.5 + 82.7
Cash-flow from profit MEUR 64.9 49.9 + 29.9
Earnings per share EUR 1.71 0.96 + 78.1
Dividend per share EUR 1.00* 0.50 + 100.0
Headcount Number 1275 1056 + 20.7

* proposed

end of ad-hoc-announcement
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Schoeller-Bleckmann Oilfield Equipment AG is the global market leader in
high-precision components for the oilfield service industry. The business focus
is on non-magnetic drillstring components for directional drilling. As of 31
December 2010, SBO has employed a workforce of 1275 worldwide (31 December 2009:
1056), thereof 370 in Ternitz/Austria and 564 in North America (including
Mexico).

SBO financial calendar 2011

28 April 2011 Annual General Meeting
12 May 2011 Ex-dividend day, dividend payment date
18 May 2011 Result Q1 / 2011
18 August 2011 Result H1 / 2011
16 November 2011 Result Q3 / 2011

end of announcement euro adhoc
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ots Originaltext: Schoeller-Bleckmann Oilfield Equipment AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

DI (FH) Gernot Bauer, Head of Investor Relations
Schoeller-Bleckmann Oilfield Equipment AG
A-2630 Ternitz, Hauptstraße 2
Tel: +43 2630/315 DW 250, Fax: DW 501
E-Mail: g.bauer@sbo.co.at

Mick Stempel
Metrum Communications
Tel: +43 1 504 69 87 ext 385
E-mail: m.stempel@metrum.at

Branche: Oil & Gas - Upstream activities
ISIN: AT0000946652
WKN: 907391
Index: WBI, ATX Prime, ATX
Börsen: Wien / official market