StockMarketWire.com - Oil services group Petrofac swung to a first-half loss after the Covid-19 crisis prompted a sharp fall in crude prices and dried up development activity in the energy sector.

Net losses for the six months through June amounted to $78m, compared to a profit of $139m on-year. Revenue slumped 25% to $2.10bn.

Petrofac said it was on track to deliver $125m of cost savings in 2020 and up to $200m in 2021. It did not declare an interim dividend.

'Our first half results reflect the deterioration in market conditions triggered by the Covid-19 pandemic and subsequent decline in oil prices,' chief executive Ayman Asfari said.

'In response, we are doing everything in our control to protect both the health and well-being of our people, suppliers and communities, as well as the long-term health of the business.'

'These swift and decisive actions are structurally reducing costs, conserving cash and maintaining our competitiveness.'

'At the same time, we have preserved core capability whilst continuing to invest in digitalisation and client relationships.'




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