16th Jul 2007 07:00
Gas Turbine Efficiency plc ("GTE" or "the Group"), a leadingdesigner and manufacturer of advanced cleaning, performance monitoringand fluid and control systems for gas turbines, is pleased to announcea significant increase in Industrial based revenues and backlog for2007. £ After successfully establishing the business in the aviationsegment with our exclusive partner, Pratt & Whitney, GTE is now seeingsimilar success in the industrial segment. This is evident in thetremendous growth seen in the first half of 2007. Industrial revenuesare expected to increase over 600% to $5.7m (H1 2006: $0.8m). £ As a result, the Group expects its total revenue in the first half2007 to over 300% to $9.3m compared with the corresponding period lastyear (H1 2006: $2.1m). On 30 June 2007, the backlog for the full year2007 was $13.9m, approximately, 450% ahead of corresponding periodlast year (H1 2006: $2.5m). £ GTE has achieved this success by following a bold strategy toextend the business model with four OEM qualifications in parallel.The Group has also expanded its solutions portfolio with theacquisition of Control Center, LLC and ARES Technology, LLC this year.The combined strategy of acquisitions alongside organic Research &Development has significantly expanded GTE's core product lines asseen below: \* T 2006 2007----------------------------- ----------------------------------------Compressor Cleaning Systems Compressor Cleaning Systems----------------------------- ---------------------------------------- Compressor Power Augmentation----------------------------- ---------------------------------------- Fuel Systems And Metering----------------------------- ---------------------------------------- Control Systems and Panels----------------------------- ---------------------------------------- Combustion Monitoring Systems----------------------------- ---------------------------------------- Aftermarket Parts / Supply Chain----------------------------- ---------------------------------------- On-Site Installation Services----------------------------- ---------------------------------------- Outage Repairs----------------------------- ----------------------------------------\* T £ GTE's enhanced capabilities will help the Group develop in threekey ways. Firstly, it moves GTE up the 'value chain' and closer tointegrated solutions, positioning the Group for long term growth inthe Gas Turbine aftermarket segment which is valued at up to $10billion. Secondly, it opens up additional high value products to sellthrough existing channels and customer relationships and finally, itcreates a broader technology team and patent portfolio. £ Discussions with several major OEMs to sign long term commercialcontracts have progressed well and in some cases have been expanded toinclude several new product lines. The five year agreement with Solar,a Caterpillar company along with the three year extension of ourexclusive agreement with Siemens, AB and the recent contract extensionwith Rolls Royce are a validation of our long term strategy. £ The Industrial segment includes Power Generation as well as Oil &Gas industries which tend to have large, global OEMs and end userswhich highlight the importance of GTE's solutions being executedglobally. To better align with these customers, GTE successfullyexpanded its global footprint. During 2006, we opened up an office inSt. Petersburg, Russia and added a strong presence in Abu Dhabithrough our agent relationship with NAMA. Future expansion is alsoexpected in established legal entities in Singapore, Norway, and theMiddle East. £ Looking forward, GTE plans to continue this successful strategy.The Group will look to bolster its technology breadth and developmentthrough organic R&D and opportunistic acquisitions. The Group willcontinue to focus on high value solutions in the Gas Turbineaftermarket segment and move to higher value integrated product andservice solutions. £ The demanding qualification negotiations with key industrialglobal OEMs are progressing well and we will update the market laterin the year. £ Steven Zwolinski, Chief Executive Officer of GTE, commented: "Thebenefits of GTE's long term strategy for the industrial segment of thebusiness has resulted in tremendous progress in the first half of 2007positioning the business for long term growth. The integration ofControl Center, LLC 2007 and Ares Technology, LLC has exceededexpectations, significantly enhancing the Group's capabilities." £ About GTE £ Gas Turbine Efficiency plc, whose shares are traded on LondonStock Exchange's AIM market (Ticker: GTE), designs, manufactures andmarkets advanced integrated solutions for environmental, process andasset optimisation of gas turbines primarily in the aerospace,industrial and oil & gas sectors. These solutions include cleaningsystems, performance monitoring, fluid and control sub-systems thatimprove turbine performance and availability, fuel efficiency andparts life, resulting in increased profits for our clients and acleaner environment. The Group sells its products to blue chipcustomers worldwide from operational centres in Europe and the USA. Copyright Business Wire 2007Related Shares:
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