DNO ASA — Annual Report 2013

May 6, 2014

Consolidated statements of comprehensive income

	Q4	Q3	Q2	Q1	Full year	Full year
(USD mill)	2013	2013	2013	2013	2013	2012
Sales	133.6	135.2	130.9	103.3	503.0	524.5
Cost of goods sold	-48.4	-53.1	-57.0	-49.9	-208.3	-208.4
Gross profit	85.1	82.2	74.0	53.4	294.7	316.1
Other operating income	0.1	0.1	0.1	0.2	0.3	1.7
Tariffs and transportation	-0.6	-1.2	-1.5	-0.9	-4.2	-2.7
Administrative expense/Other operating expenses	-9.3	-10.1	-7.2	-3.6	-30.2	-27.0
Impairment/Reversal of impairment oil and gas assets	-177.2	-5.1	-	-	-182.3	-
Exploration cost expensed	-3.9	-2.0	-2.4	-1.9	-10.3	-13.4
Net gain/-loss from sale of PP&E	0.0	-0.1	-	-	-0.1	-4.8
Profit/-loss from operations	-105.7	63.6	62.9	47.1	67.9	270.0
Financial income	0.2	0.4	1.1	0.9	2.6	2.8
Financial expenses	-1.4	-2.9	-3.9	-4.1	-12.3	-24.8
Profit/-loss before income tax	-106.9	61.1	60.1	43.9	58.2	248.0
Income tax expense	8.8	-14.2	-12.1	-13.8	-31.3	-49.9
Net profit/-loss	-98.1	47.0	48.0	30.1	27.0	198.1
Net profit/-loss attributable to:
Equity holders of the parent	-98.1	47.0	48.0	30.1	27.0	198.1
Earnings per share	0.10	0.05	0.05	0.03	0.03	0.20

Condensed consolidated statements of financial position

(USD mill)	2013	2012
ASSETS
Non-current assets
Goodwill	-	46.4
Deferred income tax assets	7.7	7.7
Other intangible assets	158.3	130.9
Property, plant and equipment	725.2	698.1
Available for sale investments	10.8	0.4
Other non-current assets	2.4	-
Total non-current assets	904.4	883.6
Current assets
Inventories	50.8	40.9
Trade and other receivables	114.0	123.7
Cash and cash equivalents	265.9	270.9
Total current assets	430.7	435.6
TOTAL ASSETS	1,335.1	1,319.2
EQUITY AND LIABILITIES Equity
Share capital	33.6	33.6
Other reserves	174.7	164.2
Retained earnings	550.2	523.2
Total equity	758.5	721.0
Non-current liabilities
Interest-bearing liabilities	230.4	238.0
Deferred income tax liabilities	101.5	140.4
Retirement benefit obligations	0.5	0.5
Provisions for other liabilities and charges	92.5	33.1
Total non-current liabilities	424.9	412.0
Current liabilities
Trade and other payables	56.5	40.0
Income taxes payable	15.5	7.4
Provisions for other liabilities and charges	79.7	138.7
Total current liabilities	151.7	186.2
TOTAL EQUITY AND LIABILITIES	1,335.1	1,319.2

DNO

Condensed consolidated cash flow statements
	Q4	Q 3	Q 2	Q1	Full year
(USD mill)	2013	2013	2013	2013	2013
Operating activities
Profit/-loss before income tax	$-106.9$	61.1	60.1	43.9	58.2
Adjustments to add (deduct) non-cash items:
+/- Net interest expense (-income)	0.6	2.6	1.6	2.3	7.2
Previously capitalized exploration and evaluation expenses	ä,
Depreciation of PP&E	23.4	24.9	25.0	24.5	97.8
Impairment loss/Reversal of impairment on PP&E	177.2	5.1			182.3
(Gain)/loss on PPE		0.1			0.1
(Gain)/loss on shares		÷.
Impairment/Reversal of impairment of financial assets		٠
Other*	58.4	3.3	$-1.5$	$-7.9$	52.3
Changes in working capital:
- Inventories	$-12.8$	3.5	$-1.8$	1.2	$-9.9$
- Trade and other receivables	$-20.8$	4.7	$-26.0$	49.4	7.4
- Trade and other payables	35.3	$-22.1$	9.2	$-5.8$	16.5
- Provisions for other liabilities and charges	$-53.1$	1.4	$-5.8$	$-1.6$	$-59.1$
Cash generated from operations	101.3	84.8	60.8	105.8	352.8
Income taxes paid	$-14.8$	$-16.7$	$-14.1$	$-16.5$	$-62.1$
Interest paid	$-5.0$	$-5.1$	$-5.0$	$-5.2$	$-20.3$
Net cash from operating activities	81.5	63.0	41.7	84.1	270.4
Investing activities
Acquisition of subsidiary, net of cash
Purchases of intangible assets	$-4.9$	$-3.0$	$-14.2$	$-13.7$	$-35.9$
Proceeds from sale of intangible assets
Purchases of tangible assets	$-65.2$	$-70.0$	$-65.7$	$-51.5$	$-252.5$
Proceeds from sale of tangible assets
Purchases of available-for-sale financial assets	$-10.8$		÷.		$-10.8$
Proceeds from sale of available-for-sale financial assets			0.5		0.5
Interest received	0.2	0.2	0.1	0.1	0.6
Other investing activities	٠	$\overline{\phantom{a}}$		÷
Net cash (used in)/from investing activities	$-80.9$	$-72.8$	$-79.3$	$-65.1$	$-298.1$
Financing activities
Proceeds from borrowings
Repayment of borrowings
Purchase of treasury shares, including options
Proceeds from sale of treasury shares
Proceeds from issuance of shares
Dividends paid
Net cash (used in)/from financing activities
Net increase/-decrease in cash and cash equivalents	0.7	$-9.8$	$-37.6$	19.0	$-27.7$
Cash and cash equivalents at beginning of the period	262.1	273.2	301.2	270.9	270.9
Exchange gain/-losses on cash and cash equivalents	3.0	$-1.2$	9.8	11.3	22.7
Cash and cash equivalents at end of the neriod	265.9	2621	2732	3012	2659