MedservRegis strategic target for 2022 is to achieve a turnaround

MedservRegis plc has published its financial statements for 2021. This is the first end of year statement for the newly formed Group of Companies.

The two like-minded groups of companies – Medserv and Regis – came together in June of 2021 to create a financially and operationally stronger organisation as well as provide the new group with further global reach.

The global reach of the company now spans across four continents with operations from 12 bases. The company’s market position and geographic footprint now includes the Mediterranean basin (Libya, Malta, Cyprus and Egypt), Middle East (UAE, Oman and Iraq), Sub-Saharan

Africa (Mozambique, Uganda, Angola and South Africa) and South America (Suriname).

The Group reported that the economic environment in 2021 remained slow and uncertain as a result of the continued suspension of projects due to the pandemic, the fragmented political situation in Libya resulting in the postponement of the start of new drilling activity and most notably the force-majeure announced by Total Energies at their LNG facility situated in northern Mozambique.

However, as anticipated, the Group reports that the economic activity in the second half of 2021 was stronger than the first six months of the same year, and this growth is expected to accelerate during 2022. The Group was awarded two substantial projects in Egypt which commenced midyear. This is expected to improve operations and contribute significantly to the Group’s results and the directors expect Egypt to register improved revenues and profits over the next three years. Operations in the Middle East continue to generate profits with further expected growth for 2022 and 2023 as a result of an increase in the number of onshore wells being drilled. The Group was also awarded a new contract for METS in the Middle East with a new client, Dubai Petroleum.

The Group reports that the increase in energy prices has resulted in a surge in the business pipeline. The driver for this growth is the significant economic development of the countries in which MedservRegis operates in today.

The Group’s total revenues for year 2021 amounted to €29.9m. Earnings, before interest, tax, depreciation and amortisation (EBITDA) amounted to €5.3m. A detailed analysis of the company’s financial performance for the reporting year can be found on the company’s website. The company is also scheduled to publish its forecast results for 2022 by end of July.

“These have been

trying times and we thank our customers for their business, our shareholders for their support and our loyal and hardworking team for their invaluable contribution. Our strategic targets for 2022 are for the company to return to pre-Covid19 growth levels and to register profits for shareholders, and at the same time, continue to instil across all operating jurisdictions a work culture consistent to the shareholders’ values: health, safety, security, environment and integrity,” Dave O’Connor, CEO of MedservRegis plc said.