Geothermal drilling firm Daldrup & Söhne's H1 operating output rises on project volume
Geothermal drilling firm Daldrup & Söhne's H1 operating output rises on project volume
Overview
Germany drilling and geothermal firm's preliminary H1 operating output up 56% yr/yr to EUR 32.3 mln
Preliminary EBIT rises 31% to EUR 3.46 mln, EBIT margin drops to 10.7%
Company confirms 2026 outlook, citing project timing and investments in rig modernization
Outlook
Daldrup & Söhne confirms 2026 forecast for total operating output of around EUR 58 mln
Company expects 2026 EBIT margin between 11.5% and 13.5%
Daldrup & Söhne says project delays may affect timing of revenue recognition
Result Drivers
PROJECT VOLUME - Co said results were driven by a large number of projects carried out in H1
PENDING SETTLEMENTS - Co said operating output was recognized after applying a discount due to pending final settlements for certain projects
RIG MODERNIZATION - Co invested in modernizing and upgrading drilling rigs to meet rising demand for geothermal and exploratory projects
Company press release: ID:nEQ6WG99Ha
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
H1 EBIT |
| EUR 3.46 mln |
|
H1 EBIT Margin |
| 10.70% |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the oil & gas drilling peer group is "buy"
Wall Street's median 12-month price target for Daldrup & Soehne AG is €28.90, about 36.3% above its August 26 closing price of €21.20
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 19 three months ago
Reuters Recommended Reads
Aug 25 - Norway's NorAm Drilling Q2 revenue rises sequentially on rigs efficiency
Aug 25 - China Oilfield Services H1 revenue, net income rise, helped by North Sea drilling strength
Aug 26 - US-Iran war spurs Europe, Asia to boost renewables
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)