Magseis Fairfield reported revenue of USD 84.3 million and a gross margin of 30% in the third quarter 2021, driven mainly by higher crew utilization, improved project mix, overall strong project execution, and continued cash cost management. EBITDA increased to USD 19.7 million from USD 14.3 million in the previous quarter and USD 10.4 million in Q3 2020.
Highlights for the third quarter:
Higher activity, strong project execution and continued strong safety record
Revenue of USD 84.3 million, gross profit of USD 25.1 million, and EBITDA of USD 19.7 million.
Operating profit of USD 4.0 million and net profit after tax of USD 0.6 million
Cash holding of USD 26.2 million, and available cash of USD 41.2 million including undrawn RCF
Three new contract wins and order backlog of USD 247 million at end September
USD 67 million of current backlog for delivery in 2021
Introducing Echova, the first OBN technology platform, start deployment in 2022
Executing renewables strategy with successful execution of pilot project over windfarm area in Denmark
The third quarter was a solid quarter both operationally and strategically. We see growth opportunities as the current energy market indicates a need for increasing investments from our customers going forward. Our new Echova OBN technology platform will enable us to take a larger part of the value creation in this market. In the third quarter, we continued the execution of our renewables strategy, and successfully mobilized and completed a pilot project over a windfarm area in Denmark, and are continuing to develop new opportunities in the renewables space, says CEO Carel Hooijkaas in Magseis Fairfield.
Magseis Fairfield expects that the need for increased energy supply in the short- and medium-term to translate into investments in increased recovery from already explored assets. The company sees 15% market growth in 2022, with about 50% of the visible projects awarded so far. Key opportunities remain in Europe, the Americas and Asia. Looking further ahead, the company sees 20% average annual growth in greenfield investments in 2022-25, with Magseis Fairfield uniquely positioned to offer OBN solutions into this growth market. Magseis Fairfield also sees multiple tendering opportunities for renewables projects in 2022.