Tekmar Group set for 'growth like never before' after posting strong earnings boost
Posted on 12 March 2025
Bosses at offshore specialist Tekmar say its markets are aligned “for growth like never before” after seeing its earnings rise to the highest level in five years.
Based in Newton Aycliffe, Tekmar Group offers technology, services and products to customers around the world, with offices, manufacturing facilities, strategic supply partnerships and representation in 18 locations across Europe, Africa, the Middle East, Asia Pacific and North America.
Last December, newly appointed CEO Richard Turner announced a three-year plan to transform Tekmar and realise its potential, after seeing headwinds which have impacted offshore renewables and the conventional energy markets subsiding.
Now the firm has issued full year result for the year ended September 2024, highlighting a year of stabilisation. Revenues were £32.8m, down on the previous year’s £35.6m, but adjusted Ebitda (earnings before interest, taxes, depreciation, and amortisation) was £1.7m, up from £600,000. Its operating loss was reduced from £7.9m to £3.8m in the year, a figure it said reflected the successful execution of the group’s profit improvement plan, having worked through a remaining low margin backlog.
The group held £4.6m of cash at the year end, with net debt of £1.6m - a figure which excludes the SCF Capital Partners £18m finance facility which its said remains undrawn and is available to drive growth through acquisitions. During the year, the group completed the divestment of its subsidiary, Subsea Innovation Limited for £1.9m, in line with its strategy to drive profitable growth. At the end of January it said its order book stood at £16.4m.
In its Stock Market notes to shareholders, Tekmar said: “The board is encouraged that the market environment is improving and supports sustained demand for Tekmar’s technology and engineering services across our markets. Moreover, we believe Tekmar’s differentiated technology positions the group to outperform this improving market. This is supported by the group’s developing sales pipeline, which the board expects will convert to orders and revenue over time.”
