Cairn Energy said Tuesday that net profits slumped in the first half of 2012, compared with the same part of last year when it was boosted by the sale of most of its Indian division to Vedanta. Edinburgh-based Cairn said in a results statement that its earnings after taxation slumped to $37.1 million (29.7 million euros) in the six months to June, compared with $371.5 million in the same part of last year.
Pre-tax losses meanwhile narrowed to $50 million in the first half, compared with $141.3 million last time around. The oil and gas explorer sold its 40-percent stake in Cairn India last year to Vedanta Resources for $9.6 billion, but retained a 22-percent holding. Cairn also returned $3.5 billion to shareholders after the sale.
"Cairn is actively re-balancing its portfolio to deliver exploration led growth," said chief executive Simon Thomson in the earnings release. The group is "building a series of material exploration positions in prospective and fiscally attractive areas", he added.