1st Dec 2020 11:05
(Alliance News) - Tekmar Group PLC on Tuesday said it swung to an interim loss on a fall in profit, with operations hurt in several ways by the Covid-19 pandemic.
The Newton Aycliffe, England-based provider of technology and services for the global offshore energy markets posted a pretax profit for the six months ended September 30 of GBP253,000, swinging from a profit of GBP826,000 a year prior.
Revenue was down 11% to GBP15.2 million from GBP17.1 million a year before.
Tekmar said: "The group's progress has been impacted by the global pandemic in several ways. Initially, the business was impacted in February by disruption to its supply chain, as manufacturing in China ground to a halt. The necessary resourcing of components delayed order delivery and impacted our margins. In the ensuing period we have seen global market uncertainty, primarily resulting in delays to order placement."
Going forward, Tekmar's full-year results will be dependent on the speed at which the markets in which the company operates recover from the pandemic, Chief Executive Alasdair MacDonald said.
MacDonald said: " As delays to contract timings have had, and continue to have, a significant impact on the group's financial performance, we do not intend to reinstate guidance on financial performance until visibility on the timing of contract awards returns.
"Given the positive Enquiry Book position and the encouraging, long-term global outlook for offshore wind, the Board believes that the Group, with its market leading position, is well-placed to capitalise on this structural growth, as demand flows through."
Tekmar shares were up 11% at 76.50 pence each in London on Tuesday morning.
By Greg Roxburgh; [email protected]
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