Tekmar rallies on profit and new contract announcements

Tekmar rallies on profit and new contract announcements

Subsea cable protection firm Tekmar Group Plc (LON: TGP) have announced that they booked a profit for the full year.

The latest update revealed that revenue had grown to £28.1 million, up 28% on-year. In turn, pre-tax profit came to £2 million for the year through March, up from a £0.4 million loss on-year.

The Company attributed the success to its ability to win new contracts in the offshore wind sector.

Elsewhere in the energy sector, there have been updates from; Pressure Technologies (LON: PRES), Petrofac (LON: PFC) and Redt Energy (LON: RED) today, with operations updates from  Eco Oil and Gas (LON: EGO) and Mayan Energy (LON: MYN) last week.

Tekmar Group comments

“The market outlook for offshore wind and oil and gas are both strong, with offshore wind CAGR forecasts above 20% between 2018-2028 and demand for products for the oil and gas market at a three-year high,” said Chairman Alasdair MacDonald.

“The group remains focused on its strategy as stated at IPO to deliver long-term growth through the expansion of new products, organic growth and by selective and complementary acquisitions.”

“On behalf of all the directors, I am pleased to report that the new financial year has started well and, with current order visibility levels, believe that the group is making good progress to deliver results in line with market expectations in the 2020 financial year.”

Share price update

Following the trading update, the Company’s shares rallied 11.54% or 15p during Tuesday morning trading, up to 145p a share 25/06/19 10:56 GMT.