SSC Announced its 2015 Interim Results

On August 26, SSC announced its 2015 interim results in Hong Kong. By June 30, 2015, due to decline in workload and service prices, its consolidated turnover stood at 23.12 billion RMB yuan, a year-on-year decline of 45.1%; and its net loss stood at 1.38 billion RMB yuan.

International crude oil prices remained at a low level in the first half of 2015, Chinese and foreign oil companies slashed their capital expenditure on upstream exploration and development, leading to gloomy prospects and decline in both workload and prices in oilfield services industry. Facing increasing market competition, oilfield service providers have come under growing pressures.

SSC Chairman Jiao Fangzheng said that facing severe challenges in the first half of 2015 SSC strengthened operational management in an all-round way, vigorously expanded markets, further control cost, sped up internal resource integration, stroke a balance between investment scale and pace and moved faster in industrial transformation and upgrading in order to overcome current challenges and improve business performance. Looking ahead, SSC will adapt itself to low oil prices as new normal, move faster in deepening reform, making structural adjustment and promoting transformation and upgrading to realize endogenous growth; stay committed to develop high-end services by scientific and technological progress and vigorously seek opportunities to acquire high-quality assets to improve core competitiveness; introduce a restricted stock grant agreement at an appropriate time so that the management can share risks and benefits with shareholders in pursuit of better business performance in times of difficulty. (Rong Liming)

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