China Oilfield Services (2883) Investor presentation summary

Strategic direction and core principles

• Emphasizes customer-centricity, efficiency, and new quality development as strategic pillars.

• Focuses on cost leadership, technological innovation, and global market expansion.

• Maintains a balance between short-term results and long-term growth, with no compromise on safety, service, or R&D.

• Implements lean optimization across the business chain to drive profitability through efficiency.

• Pursues high-quality development and win-win collaboration with stakeholders.

Operational and financial performance

• Achieved a 14% CAGR in workload and 1% CAGR in workforce size during the 14th Five-Year Plan.

• Improved profit margin by 2 percentage points and asset value by 0.6% CAGR.

• Reduced service subcontracting and material cost ratios, with significant cost savings for operators.

• Optimized debt structure, targeting a weighted average interest rate below 3% in 2026.

• Enhanced equipment utilization and labor productivity, with rental costs down 5%.

Technological and operational advancements

• Implements over 40 new technologies annually, boosting efficiency and reducing costs.

• Achieved 79% in-house production rate for functional chemical materials and 48.3% self-developed core materials.

• Built efficient supply alliances, increasing localization of key equipment units by 20 percentage points.

• Advanced digitalization and smart manufacturing to support automation and high-end development.

• Established remote operation support labs for real-time diagnostics and intervention.