MedservRegis plc – Interim Results
Following last week's article detailing the performance of the S&P 500 index in 2025, it is worth devoting time to review the developments across the European equity markers in my last article of the year.
Financial Performance
On 27 August 2026, MedservRegis plc published its interim financial statements covering the six-month period ended 30 June 2026.
Revenue surged by 41% to €63.0 million (H1 2025: €44.7 million), of which €47.1 million was generated by the Integrated Logistics Support Services (ILSS) segment, €15.6 million by the Oil Country Tubular Goods (OCTG) segment and €0.21 million by the photovoltaic farm. The 68% increase in ILSS income arose principally from the offshore projects in Malta and Libya, which more than offset the lower revenue from Cyprus. In contrast, OCTG revenue eased by 5.6% due to the movement in the US dollar exchange rate, with the segment’s revenue remaining broadly unchanged on a constant-currency basis.
On the expenditure side, net operating costs rose by 45% to €55.7 million (H1 2025: €38.5 million). The Group’s operating profit increased by 17.6% to €7.31 million (H1 2025: €6.22 million), whilst adjusted EBITDA advanced by 14.0% to €12.4 million (H1 2025: €10.8 million). This translates into an EBITDA margin of 19.6% compared to 24.2% in the first half of 2025, reflecting the shift in the revenue mix towards the lower-margin ILSS segment.
Net finance costs eased by 2.4% to €1.91 million (H1 2025: €1.96 million).
MedservRegis registered a profit before tax of €5.40 million, 26.8% higher than the €4.26 million reported in the corresponding period last year. The tax expense more than doubled to €2.12 million (H1 2025: €0.85 million), representing an effective tax rate of 39.3% compared to 20.0% in the first half of 2025, due to the shift in the Group’s profit mix towards the Malta operations within the ILSS segment where profits are subject to the standard 35% corporate tax rate, as opposed to the lower effective rate applicable to the OCTG segment in the Middle East. MedservRegis explained that the tax expense recognised in Malta principally reflects the utilisation of the company’s available tax credits and is therefore largely non-cash in nature.
After also accounting for a profit attributable to non-controlling interests of €0.13 million (H1 2025: €0.48 million), the net profit for the period attributable to shareholders amounted to €3.15 million, which is 7.3% higher than the €2.93 million recorded in the same period last year.
The Statement of Financial Position as at 30 June 2026, when compared to the corresponding figures as at the end of 2025, shows that total assets increased by 1.5% (or €2.37 million) to €161 million. The Group’s asset base principally comprises right-of-use assets of €50.7 million, trade and other receivables of €45.6 million, property, plant and equipment of €31.2 million as well as cash balances of €12.4 million.
Meanwhile, total liabilities rose by 0.6% (or €0.56 million) to €100 million. Borrowings declined by €8.5 million to €46.0 million following the redemption of the outstanding 4.50% euro and 5.75% US dollar unsecured bonds in the first quarter of 2026. Including lease liabilities, total debt eased by 10.2% to €67.0 million, whilst net debt remained broadly stable at €54.7 million. MedservRegis explained that the high level of activity during the first half absorbed a significant amount of cash in working capital, a material portion of which is expected to be released progressively during the second half of 2026.
Shareholders’ funds increased by 3.0% (or €1.75 million) to €59.1 million. This translates into a net asset value per share of €0.581 (31 December 2025: €0.564).
Dividend
The Board of Directors is scheduled to meet on Tuesday 29 September 2026 to consider the approval of an interim dividend.
Outlook
The Board of Directors explained that MedservRegis entered the second half of 2026 with a strong pipeline of activity across its principal operating regions, supported by established long-term client relationships and newly secured work.
In Malta, the Directors noted that the shore base continues to support offshore activity linked to Libya whilst preparing for further drilling and project-related work expected from 2027, with the Bahr Essalam drilling programme continuing and the Misurata base in Libya remaining operational. The outlook for Cyprus has improved materially following the confirmation of an upcoming drilling campaign by a key US international energy company, with drilling expected to continue into 2027, as well as the final investment decision taken by Eni and TotalEnergies for the Cronos gas development in Block 6. In Suriname, marine agency and logistics activities in support of the GranMorgu development have commenced, with the more substantial integrated logistics scope expected to ramp up towards the end of 2026 and into 2027. Meanwhile, in Iraq the business remains operational albeit with reduced activity amid the conflict in the region, although MedservRegis secured additional long-term machine-shop work with its main client in the country.
The Board stated that it is confident that the company will meet its recently published 2026 forecast and remains optimistic about its business pipeline notwithstanding the impact of the Middle East conflict. The Directors added that the company’s priorities remain the delivery of improved profitability, whilst maintaining a balanced approach to dividend payments, debt reduction and continued investment in information systems and market growth.
The article contains public information only and is published solely for informational purposes. It should not be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in this article. Rizzo, Farrugia & Co. (Stockbrokers) Ltd (“Rizzo Farrugia”) is under no obligation to update or keep current the information contained herein. Since the buying and selling of securities by any person is dependent on that person’s financial situation and an assessment of the suitability and appropriateness of the proposed transaction, no person should act upon any recommendation in this article without first obtaining investment advice. Rizzo Farrugia, its directors, the author of this article, other employees or clients may have or have had interests in the securities referred to herein and may at any time make purchases and/or sales in them as principal or agent. Furthermore, Rizzo Farrugia may have or have had a relationship with or may provide or has provided other services of a corporate nature to companies herein mentioned. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Foreign currency rates of exchange may adversely affect the value, price or income of any security mentioned in this article. Neither Rizzo Farrugia, nor any of its directors or employees accepts any liability for any loss or damage arising out of the use of all or any part of this article. Additional information can be made available upon request from Rizzo, Farrugia & Co. (Stockbrokers) Ltd., Airways House, Fourth Floor, High Street, Sliema SLM 1551. Telephone: +356 2258 3000; Email: info@rizzofarrugia.com; Website: www.rizzofarrugia.com © 2021 Rizzo, Farrugia & Co. (Stockbrokers) Ltd. All rights reserved. This article may not be reproduced or redistributed, in whole or in part, without the written permission of Rizzo Farrugia. Moreover, Rizzo Farrugia accepts no liability whatsoever for the actions of third parties in this respect.
This article was produced by Edward Rizzo, Director at Rizzo Farrugia, which is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange. The company’s registered address is at Airways House, Fourth Floor, High Street, Sliema SLM 1551, Malta.
The article contains public information only and is published solely for informational purposes. It should not be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in this article. Rizzo, Farrugia & Co. (Stockbrokers) Ltd (“Rizzo Farrugia”) is under no obligation to update or keep current the information contained herein. Since the buying and selling of securities by any person is dependent on that person’s financial situation and an assessment of the suitability and appropriateness of the proposed transaction, no person should act upon any recommendation in this article without first obtaining investment advice. Rizzo Farrugia, its directors, the author of this article, other employees or clients may have or have had interests in the securities referred to herein and may at any time make purchases and/or sales in them as principal or agent. Furthermore, Rizzo Farrugia may have or have had a relationship with or may provide or has provided other services of a corporate nature to companies herein mentioned. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Foreign currency rates of exchange may adversely affect the value, price or income of any security mentioned in this article. Neither Rizzo Farrugia, nor any of its directors or employees accepts any liability for any loss or damage arising out of the use of all or any part of this article. Additional information can be made available upon request from Rizzo, Farrugia & Co. (Stockbrokers) Ltd., Airways House, Fourth Floor, High Street, Sliema SLM 1551. Telephone: +356 2258 3000; Email: info@rizzofarrugia.com; Website: www.rizzofarrugia.com © 2021 Rizzo, Farrugia & Co. (Stockbrokers) Ltd. All rights reserved. This article may not be reproduced or redistributed, in whole or in part, without the written permission of Rizzo Farrugia. Moreover, Rizzo Farrugia accepts no liability whatsoever for the actions of third parties in this respect.
This article was produced by Edward Rizzo, Director at Rizzo Farrugia, which is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange. The company’s registered address is at Airways House, Fourth Floor, High Street, Sliema SLM 1551, Malta.