Brooge Energy Reports 2022 Revenue of USD $81.5 Million, an Increase of 95% Year-Over-Year, and Provides Outlook for 2023
Brooge Energy Ltd (NASDAQ: BROG) reported a 95% revenue growth year-over-year for 2022, totaling USD $81.5 million, compared to USD $41.8 million in 2021. The company achieved a net profit of USD $27.3 million, or $0.31 per share, a slight increase from USD $25.7 million in 2021. The gross profit rose by 112% to USD $56.8 million, with a gross profit margin of 70%. Management is optimistic, projecting revenue guidance of over USD $125 million for 2023, driven by nearly 100% storage capacity utilization and ongoing projects in Green Hydrogen and Green Ammonia. Brooge is expanding its Phase III storage facilities and recently partnered with Siemens Energy to develop a solar farm for their renewable projects.
- Revenue growth of 95% in 2022, reaching USD $81.5 million.
- Net profit increased to USD $27.3 million in 2022.
- Gross profit rose by 112% to USD $56.8 million.
- Revenue guidance for 2023 set at over USD $125 million.
- Increased general and administrative expenses.
- Higher finance costs related to Phase 2 construction.
- Net profit increase of only 6% despite significant revenue growth.
Management is providing revenue guidance for 2023 of over USD
Management will host a conference call on Thursday, May 4th at 10 a.m. ET
NEW YORK, April 26, 2023 (GLOBE NEWSWIRE) -- Brooge Energy Ltd, (“Brooge Energy” or the “Company”) (NASDAQ: BROG), a Cayman Islands-based infrastructure provider, which is currently engaged in clean petroleum products and biofuels and crude oil storage and related services, announced today its financial results for the year ending December 31, 2022. Management will host a conference call on Thursday, May 4th at 10 a.m. ET and requests that all questions be submitted to BROG@KCSA.com by Sunday, April 30th at 8 p.m. ET.
”We are pleased to report revenue growth of
Ms. Saheb was appointed as the Interim Chief Executive Officer of Brooge Energy and its subsidiaries in December 2022 and is diligently working to continue the vision of the Company. Since her appointment, Ms. Saheb has put in extraordinary efforts in leading the team to conclude the issuance of six financial statements within the stipulated extension provided by Nasdaq. These financial statements included: three audited restated financial statements for the years ended 2018 to 2020, two audited financial statements for the years ended 2021 and 2022, and the interim financial statements for the period ended June 30, 2022. This was following the recommendation of the Audit Committee of the Board of Directors.
Financial Results for the Year Ending December 31, 2022
In 2022, Brooge Energy provided storage capacity of 1,001,388 cbm and related services to numerous oil traders and producers generating revenue of USD
Gross profit for 2022 totaled USD
For the year ending December 31, 2022 the Company reported a net profit of USD
Operations Update and Highlights:
The success of Phase I and II, led the Company to consider expanding its storage facilities where it has conducted a feasibility study and commenced early preparation works on Fujairah Phase III. Upon successful expansion of the Phase III facility, this would position the Company as one of the largest independent oil storage facility in Fujairah, with capacity to store clean petroleum products, middle distillates, high and low sulphur fuel oil as well as crude oil.
The Company is also in the advanced stages of planning a Green Hydrogen and Green Ammonia Project, which aims to produce up to 700,000 MT of green ammonia per annum once fully completed. The Green Hydrogen and Green Ammonia Project is one of the first privately owned company green ammonia projects in the United Arab Emirates and the region, led by Brooge Energy Limited’s
Earlier in 2023, the Company announced a partnership through the Company’s subsidiary Brooge Renewable Energy (“BRE”) with Siemens Energy (“SE”), one of the world’s largest energy technology companies, to build a photovoltaic (“PV") solar farm to supply BRE’s Green Hydrogen and Green Ammonia project in Abu Dhabi, United Arab Emirates. BRE and SE partnership is aimed to build up to 650 MW solar PV plant to supply BRE’s planned Phase 1 of the green ammonia project with renewable energy. Siemens Energy will serve as the Technical Partner to Brooge and exclusive provider of solutions including engineering, design procurement, and construction of up to a 650 MW solar PV plant including grid connection and operation and maintenance services. The two companies will partner to obtain the necessary project approvals from governmental agencies as a first step of the project targeting construction commencement in the second half of 2024.
On March 28, 2023, Brooge Energy was awarded “Best Specialist Liquid Bulk Terminal of the Year 2023” and “Safe and Secure Terminal of the Year” at The Global Ports Forum Awards, a highly respected ceremony within the global ports and terminal industry, in Dubai, UAE.
Outlook for 2023
At year end 2022, the Company had five oil storage customers providing diversification of revenue with longer term contracts and renewal options. Based on this information and near
Conference Call Details
Date: Thursday, May 4, 2023
Time: 10:00 a.m. Eastern Time
Webcast: https://viavid.webcasts.com/starthere.jsp?ei=1610239&tp_key=6e19069490
Dial-In Number: 1-888-886-7786 or 1-416-764-8658
UAE Toll Free: 800035703632
Conference ID: 60400024
Deadline to Submit Questions: Sunday, April 30, 2023 at 8 p.m. ET
Email to Submit Questions: BROG@KCSA.com
Replay: 1-844-512-2921 or 1-412-317-6671 (Access ID: 60400024)
About Brooge Energy Limited
Brooge Energy Ltd, is a Cayman Islands-based infrastructure provider now intending to focus on renewable energy infrastructures and biofuels, next to clean petroleum products, crude oil storage and related services. The company conducts its business and operations through its subsidiaries Brooge Renewable Energy, Brooge Petroleum and Gas Investment Company FZE (BPGIC), and Brooge Petroleum and Gas Investment Company Phase 3 FZE . BPGIC, the Company’s primary operating subsidiary that focuses on midstream oil storage and other services, is strategically located outside the Strait of Hormuz at the Port of Fujairah in the Emirate of Fujairah in the UAE. The Company differentiates itself from competitors by providing customers with fast order processing times, excellent customer service and high accuracy blending services with low product losses. For more information, please visit at www.broogeenergy.com.
Forward-Looking Statements
This press release contains statements that are not historical facts, including the Company’s anticipated shift towards green energy and targeted production at BRE’s planned Green Hydrogen and Green Ammonia plant and constitute “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Such statements reflect management’s current views based on certain assumptions, and they involve risks and uncertainties. Actual results, events or performance may differ materially from the forward-looking statements due to a number of important factors, and will be dependent upon a variety of factors, including availability of labor and other resources needed to for completion of the new plant, timing of obtaining regulatory approvals needed with respect to the new facility, the Company’s ability to complete construction and initiate operations of the new facility on the anticipated timeline or at all, the Company’s ability to maintain the lease for the new facility, and other risks described in public reports filed by Brooge Energy with the U.S. Securities and Exchange Commission. Readers are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Brooge Energy does not undertake any obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.
Investor Contact
KCSA Strategic Communications
Valter Pinto, Managing Director
+1 212-896-1254
BROG@kcsa.com
| Brooge Energy Limited | ||||||
| Consolidated Statement of Comprehensive Income | ||||||
| Year Ended December 31, 2022 | ||||||
| (Figures in USD) | 2022 | 2021 | ||||
| Revenue | 81,540,776 | 41,761,615 | ||||
| Direct costs | (24,691,442 | ) | (14,984,022 | ) | ||
| Gross profit | 56,849,334 | 26,777,593 | ||||
| Other income | 180,345 | 6,237,620 | ||||
| Change in estimated fair value of derivative warrant liability | 7,430,035 | 1,486,023 | ||||
| General and administration expenses | (15,652,819 | ) | (7,422,870 | ) | ||
| Finance costs | (25,417,989 | ) | (6,810,718 | ) | ||
| Changes in fair value of derivative financial instruments | 3,840,379 | 5,422,917 | ||||
| Profit for the year | 27,229,285 | 25,690,565 | ||||
| Other comprehensive income | Nil | Nil | ||||
| Total Comprehensive Income for the year | 27,229,285 | 25,690,565 | ||||
| Basic and diluted earnings per share | 0.31 | 0.29 | ||||
| Brooge Energy Limited | ||||||
| Consolidated Statement of Financial Position | ||||||
| As at December 31, 2022 | ||||||
| (Figures in USD) | 2022 | 2021 | ||||
| ASSETS | ||||||
| Current Assets | ||||||
| Cash and cash equivalents | 8,259,981 | 7,380,991 | ||||
| Trade accounts receivables | 5,275,047 | 3,771,492 | ||||
| Inventories | 315,576 | 250,360 | ||||
| Other receivables and prepayments | 724,093 | 1,131,868 | ||||
| Total Current Assets | 14,574,697 | 12,534,711 | ||||
| Non-Current Assets | ||||||
| Restricted bank balance | 8,500,000 | 8,500,000 | ||||
| Property, plant and equipment | 426,040,639 | 427,266,913 | ||||
| Derivative financial instrument | 9,306,741 | 5,422,917 | ||||
| Advances to contractor | 15,223,215 | 3,499,988 | ||||
| Total Non-Current Assets | 459,070,595 | 444,689,818 | ||||
| Total Assets | 473,645,292 | 457,224,529 | ||||
| LIABILITIES AND EQUITY | ||||||
| Current Liabilities | ||||||
| Trade and accounts payable | 23,464,803 | 18,189,493 | ||||
| Other payable | 74,253,965 | 74,253,965 | ||||
| Derivative warrant liability | 4,245,780 | 11,675,815 | ||||
| Borrowings | 171,739,579 | 182,781,617 | ||||
| Lease liabilities | 6,316,342 | 8,976,452 | ||||
| Total Current Liabilities | 280,020,469 | 295,877,342 | ||||
| Non-Current Liabilities | ||||||
| Borrowings | 1,782,603 | Nil | ||||
| Lease liabilities | 84,557,069 | 80,804,728 | ||||
| Employees' end of service benefits | 134,200 | 60,624 | ||||
| Asset retirement obligation | 2,056,259 | 1,990,399 | ||||
| Total Non-Current Liabilities | 88,530,131 | 82,855,751 | ||||
| Equity | ||||||
| Share capital | 8,804 | 8,804 | ||||
| Share premium | 101,777,058 | 101,777,058 | ||||
| Statutory reserve | 680,643 | 680,643 | ||||
| Accumulated losses | (67,763,600 | ) | (94,992,885 | ) | ||
| Shareholder's account | 70,391,787 | 71,017,816 | ||||
| Total Equity Attributable to the Shareholders | 105,094,692 | 78,491,436 | ||||
| Total Liabilities and Equity | 473,645,292 | 457,224,529 | ||||
FAQ
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