Second-quarter sales slid at forecourt and retail business EG Group as the billionaire Issa brothers worked to slash the company’s debt.
Revenues for the three months to the end of June fell 18% to $7.3 billion, while pre-tax earnings fell 4% to $335 million, which the firm put down to “the impact of oil inventory revaluations, driven by oil price volatility.”
EG Group said it was able to cut debt by 41% through a combination of sale and leaseback deals in the US, as well as the sale of the bulk of its UK business to Ada, which the pair also own. It has also extended the maturity date on a number of loans totalling $6.1 billion.
Co-founder Zuber Issa said: “The Group continued to make good progress with its deleveraging strategy…to put in place a sustainable long-term capital structure.”
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