31 August 2021 – Endúr ASA (Endúr) delivered consolidated proforma revenues of NOK 542.3 million in the second quarter of 2021, an increase of 13 percent from the same quarter last year (Q2 2020: NOK 479.3 million). The proforma EBITDA-result was NOK 27.1 million, down from NOK 90.4 million in the second quarter last year, caused by a Swedish marine infrastructure market negatively affected by Covid-19 and two problematic project completions within aquaculture solutions. Endúr’s order backlog stood at NOK 2.45 billion at the end of the second quarter.
“Overall it was a decent quarter with strong revenue growth, some very important contract awards and further streamlining of Endúr following the divestment of rope access company AAK. Although the EBITDA-result is weakened by a Swedish infrastructure market still in Covid-19 recovery and higher tail-end activity than planned on a couple of aquaculture projects, Endúr’s fundamental position is much stronger than it was at the beginning of 2021,” says Hans Olav Storkås, CEO of Endúr.
Endúr won several strategically important contracts in the second quarter. Artec Aqua was awarded a feasibility study with K Smart Farming for land-based salmon farming grow-out facility in South Korea. The agreement includes an intention for Artec Aqua to conduct engineering, delivery, installation and commissioning of designed process related systems and equipment in the future build-out of the project. Moreover, BMO Entreprenør won a large NOK 127 million contract for work on 19 bridges for BaneNOR on Meråker and Trønderbanen, while Marcon was awarded nine marine infrastructure contracts in Sweden, worth a total of SEK 53 million.
At the end of the second quarter, Endúr’s order backlog stood at a healthy NOK 2.45 billion.
Endúr delivered consolidated proforma revenues of NOK 542.3 million in the second quarter of 2021 (479.3m) and a proforma EBITDA-result of NOK 27.1 million (90.4m). EBIT was NOK -7 million (58.7m).
Business area update
Endúr is a leading provider of marine infrastructure and land-based aquaculture solutions. The group conducts business segment reporting through two core business segments: Marine Infrastructure and Aquaculture Solutions, plus a third segment comprised of Endúr’s legacy business and group functions.
The Marine Infrastructure segment, comprised of BMO Entreprenør, Marcon and Installit, increased its order book significantly in the quarter, driven by the above-mentioned contracts to BMO Entreprenør and Marcon. The Norwegian marine infrastructure operations achieved a strong margin on historically high revenues. However, revenues from the Swedish operation are down 25 percent versus the same period last year caused by a less favourable Swedish construction and rehabilitation market attributable to Covid-19 and an unusually long and cold winter resulting in project delays. In the second quarter, the Marine infrastructure segment delivered proforma revenues of NOK 243.8 million (278.2m) and a proforma EBITDA-result of NOK 31.8 million (71.9m).
The Aquaculture Solutions segment, comprised of Artec Aqua and Endúr Sjøsterk, delivered strong growth in the second quarter. Proforma revenues ended at NOK 255.3 million, an increase of 61 percent from the same quarter last year (158.9m). The EBITDA-result was NOK 12.3 million (19.5m). EBITDA was negatively affected by tail-end activities on two projects that incurred more costs than expected, one of which had a – for Artec Aqua – uncustomary large fixed-price scope for Artec Aqua. Artec Aqua’s work on Salmon Evolution’s project at Indre Harøya is progressing according to plan. Artec Aqua expects and plans for higher activity through the remainder of 2021, secured through the company’s order backlog.
“The land-based aquaculture market remains strong, and we expect continued growth in the Norwegian marine infrastructure market. The Swedish infrastructure market has lagged the Norwegian, but shows signs of recovery, and Endúr’s large and healthy backlog should ensure continued growth. Overall, we look forward to an improved Q3 and second half of the year,” says Hans Olav Storkås.
Company presentation at 08:00 CET today
Endúr will host live webcast presentation today at 08:00 (CET). Investors, analysts, lenders and media are invited to follow the webcast from the following URL: https://channel.royalcast.com/landingpage/hegnarmedia/20210827_1/
For further information, please contact:
Hans Olav Storkås, CEO of Endúr, tel: +47 901 22 744
Lasse B. Kjelsås, CFO of Endúr, tel: +47 908 49 772
About Endúr ASA
Endúr ASA (OSE: ENDUR) is a leading supplier of construction and maintenance projects and services for marine infrastructure, including facilities for land-based aquaculture, quays, harbours, dams, bridges and other specialised concrete and steel projects. The company and its subsidiaries also offer a wide range of other specialised project and marine services. Endúr ASA is headquartered in Bergen, Norway. See www.endur.no