Deutsche Rohstoff AG / DE000A0XYG76

Half-year results: Revenue of EUR 102.3 million and EBITDA of EUR 70.5 million, guidance for 2025 confirmed
  Production of 13,659 BOEPD (barrels of oil equivalent per day) Revenue of EUR 102.3 million (previous year: EUR 112.2 million) EBITDA of EUR 70.5 million (previous year: EUR 83.8 million) Consolidated net income of EUR 15.5 million (previous year: EUR 24.8 million) Production and revenue in the first half of the year from approximately 98% of the approximately 220 existing wells Exchange rate and lower raw material prices lead to consolidated net income of EUR 3.0 million in the second quarter (previous year: EUR 9.8 million) Guidance for 2025 confirmed at EUR 170 to 190 million in revenue and EUR 115 to 135 million in EBITDA at a WTI oil price of USD 60 Significant contribution from ongoing drilling program expected in second half New Chinook wells producing strongly since end of June Positive free cash flow of EUR 25 million
"The first half of 2025 shows that Deutsche Rohstoff AG was able to continue its positive development even with significantly lower oil prices. Revenue benefited from the high base of 220 existing wells and strong production from the new wells drilled in 2024. As a result, more than half of the guidance for revenue and EBITDA had already been generated by the middle of the year, even though the current drilling program will not contribute to production until the second half of the year. We therefore believe we are on track to achieve our 2025 guidance of revenue of EUR 170 to 190 million and EBITDA of EUR 115 to 135 million," said Jan-Philipp Weitz, CEO.


Financial development

The Group generated revenue of EUR 102.3 million in the first half of the year (previous year: EUR 112.2 million), performing very well in the current environment of lower oil prices and a weaker US-Dollar. The year-on-year decline of around 9% is largely due to lower production volumes (-8%). Unlike in previous years, the production volumes from the current drilling program will not contribute significantly until the second half of the year. The lower oil price was largely offset by a higher oil share of 64% (previous year: 58%) and the increase in gas prices (+43%).

EBITDA amounted to EUR 70.5 million after six months (previous year: EUR 83.8 million) and was reduced by around EUR 5 million, primarily due to exchange rate changes and upfront costs for the drilling program in the western areas of the Powder River Basin. Consolidated net income amounted to EUR 15.5 million (previous year: EUR 24.8 million).

Operating cash flow rose to EUR 89.9 million (previous year: EUR 84.9 million) and cash flow from investing activities fell to EUR 64.9 million (previous year: EUR 113.8 million), of which EUR 57 million was attributable to investments in new wells. Free cash flow was clearly positive at EUR 25 million. Equity amounted to EUR 208.4 million. Net debt fell by more than 10% from EUR 157 million as of December 31, 2024, to EUR 140.4 million. The equity ratio remained almost unchanged at 40.2% (30 June 2024: 41.5%) despite the weaker US-Dollar, the record dividend paid in June and the ongoing share buyback program.

Cost of materials declined slightly to EUR 19.3 million (previous year: EUR 19.6 million). Operating costs per barrel were slightly lower than in the full year 2024, at USD 8.47/BOE (previous year: USD 9.00/BOE). Amortization for oil and gas production facilities rose to USD 17.01/BOE (previous year: USD 16.46/BOE).

As a result of the US tax reform (“One Beautiful Bill”), Deutsche Rohstoff will benefit from further immediate depreciation rules for investments in oil and gas drilling as well as from higher deductibility of debt interest in the future. From today's perspective, the liquidity advantage in the current year is expected to be in the mid-single-digit million range.


Operating performance

The operating performance in the US was very encouraging. All well pads from last year's drilling program produced cumulatively more oil by mid-2025 than in the base assumptions that are decisive for the Group's investment decisions. The last seven wells from 2024 on the Cottonwood pad produced the expected oil volume for the entire first year of production in the first eight months since the start of production. The first four Niobrara wells of the 2025 drilling program on the Chinook pad also started very promisingly and have been producing at a very high level since the end of June. The costs of the four Chinook wells were reduced again and averaged less than USD 9 million per two-mile well for the first time for a complete well pad.

Following extensive preparatory work, a larger drilling program has also been ongoing since April on the properties in the western part of the Powder River Basin, where a total of six wells are planned, three each in the Niobrara and Mowry formations. The first of the three planned wells in the deeper Mowry formation was successfully completed despite some technical challenges. The second well in the Mowry Formation was completed significantly faster. The six wells are expected to be completed after drilling is finished in the third quarter and to go into production during the fourth quarter.

The four subsidiaries in the US produced an average of 13,659 BOE per day in the first half of the year (previous year: 14,763 BOE per day), corresponding to a total production of 2.47 million BOE (previous year: 2.67 million BOE). 1,575,509 barrels were attributable to crude oil (previous year: 1,560,048 barrels), with the remainder coming from natural gas and condensates. All volumes correspond to the Group's net share.


Confirmation of guidance

In the first half of the year, the Group already generated significantly more than half of the upper end of the respective range for revenue and EBITDA. The Executive Board therefore confirms its guidance for 2025. Revenue of EUR 170 to 190 million and EBITDA of EUR 115 to 135 million are still expected. The guidance is based on a WTI oil price of USD 60, a gas price of USD 3/mcf and a USD/EUR exchange rate of 1.10.

The half-year report of Deutsche Rohstoff AG is now available on the company's website.


Mannheim, 19 August 2025