31st Jan 2020 11:31
(Alliance News) - Northbridge Industrial Services PLC on Friday said its performance in the second half of 2019 delivered the "considerable improvement on 2018" that had been expected.
Shares in Northbridge were up 4.3% at 158.00 pence in London in late morning trading.
The industrial services and rental firm will post its preliminary annual results on April 7, which are expected to show increased trading earnings before interest, taxation, depreciation, and amortisation.
Northbridge said its trading in the second half of the year matched the improved first half and was "in line with the group's forecasts, which show a considerable improvement on 2018".
As such, Northbridge said it is confident its 2019 result will align with management expectations.
The oil and gas market made progress in its recovery, with the Brent crude price being around USD60 a barrel and continued investment from oil and gas majors. This benefited Northbridge's Tasman Oil Tools business, which rents drilling equipment for the oil, gas, and geothermal industries.
Tasman's activity levels improved, with the business increasing its market share in the Asia Pacific region and seeing a year-on-year increase in revenue with "significant gains in large parts" of Tasman's market, "albeit from a low base".
In terms of outlook, Northbridge said: "Underlying sentiment in Northbridge's main markets continues to improve, and despite recent events regarding global trade currently having an impact on business confidence, we believe the resilience of the recovery in our markets is not in doubt and we expect further good progress during 2020, and look forward to a profitable future."
By Anna Farley; [email protected]
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