KBC.L Regulatory News (KBC)

1 Jul 2005 07:00

KBC Advanced Technologies plc01 July 2005 1 July 2005 KBC Advanced Technologies plc ('KBC' or 'the Company') Trading Update Further to the Chairman's Statement issued at the AGM on 28 April 2005, theCompany is now in a position to update shareholders on progress during the firsthalf of the Financial Year. As we outlined at the time of the placing in March 2005, we have continued toinvest in developing relationships with the major oil and gas companies in thesecond quarter. As a result sales awards for the first six months almost doubledcompared to the second half of 2004, with the backlog increasing during thisperiod by 20%. Notwithstanding this success, and due to the timing of theseawards and their translation into revenues, the Company will not achieve theexpected results for the first half, or for the year as a whole. We nowanticipate that revenue and operating profit for the first half of 2005 will besimilar to that achieved in the second half of 2004. However, given the upturnin sales success, the Board is confident that during the second half the Companywill return to profitability and, subject to timing of certain sales awards,will deliver the current trading expectation of £1 million operating profit forthe second half. There has been an increasing demand for energy related services as oil pricestouch $60 per barrel, with recent contracts awarded by bp and Chevron in the US,as well as Total and two other major European refiners, to develop enhancementsto their strategic, site-wide, energy conservation programmes. Demand for theseprogrammes will continue for the foreseeable future. Interest in Petro-SIM TM,KBC's refinery wide flowsheeting system, is growing and several clients licensedPetro-SIM during the second quarter, including OMV, KPE and Tamoil. There is astrong sales pipeline with several clients in an advanced stage of evaluationand contract negotiation. As a result of the additional work required to report under the newInternational Accounting Standards format, the results for the half year ended30 June 2005 will be issued on 22 September 2005. All references to reported and anticipated revenues and profits in thisstatement are made under the UK GAAP reporting regime. -Ends- For further information please contact: KBC Advanced Technologies plc 01932 236314Peter Close, Chief ExecutiveNicholas Stone, Finance Director Arden Partners Limited 020 7398 1632Richard Day Weber Shandwick Square Mile 020 7067 0700Rachel Taylor/Yvonne Alexander About KBC:KBC Advanced Technologies plc, a leading independent process engineeringconsultancy, delivers improved profitability through consulting services andpractical solutions to owners and operators in the oil refining, petrochemicaland other process industries worldwide. KBC provides process consulting,strategic planning advice, petroleum and chemical price forecasting, economicstudies and capital project reviews to help clients find the most cost-effectiveway to achieve their short- and long-term objectives. KBC analyses plantoperations and management systems, recommends changes for material andmeasurable improvements in profitability, and provides implementation servicesto assist clients in realising these improvements. In carrying out this work,KBC makes extensive use of its proprietary refinery-wide simulation and processmodelling technology. Formed in 1979, KBC has principal offices in the UK, USA,Singapore, Japan, Russia and the Netherlands. For more information, visitwww.kbcat.com This information is provided by RNS The company news service from the London Stock Exchange