Tekmar Group unveils plan to hit 'record' results

A marine engineer has unveiled a turnaround plan to “unlock its true potential” and deliver “record” financial results.

Tekmar Group is rolling out a three-year blueprint it says will build a “business with true strength and resilience” amid “subsiding” market pressures.

It says the strategy – delivered under new chief executive Richard Turner – will pivot the Newton Aycliffe-headquartered firm from historical product-related revenues to “higher margin engineering services” by augmenting existing divisions with an updated “technology roadmap”.

According to its plans, the firm will draw its Tekmar Energy and Pipeshield operations – which both supply equipment to protect subsea energy lines – closer together, to “grow its market-leading protection and stability technologies”.

The company also aims to expand its Ryder-branded engineering consultancy, which has offices in Newcastle, London and Glasgow, to “realise its significant commercial potential”.

And officials say they will continue to monitor takeover opportunities, with its board “actively assessing complementary targets.”

Richard, who took over as Tekmar Group chief executive earlier this year, said: “We have differentiated technology that sets us apart in the market, our know-how and industry expertise are hard-earned, and our technology is without equal.

“Like many others, our capability has not borne satisfactory results in recent years, evident by sub-scale order intake, earnings and weak cash flow (amid) challenging market conditions.

“Despite the obvious toll, we have used this time wisely… and have developed next-generation protection and assurance technology that will be crucial in ensuring security and certainty of supply from offshore assets forming the backbone of future energy supply.

“2025 is where we underpin the foundations of growth (and) we look ahead with confidence and renewed purpose.”

The group’s plan was revealed as it announced a financial update for the year to September 30, which showed revenues are expected to dip slightly to £32 million.

However, adjusted EBITDA is tipped to treble to about £1.8 million, which officials say will represent the highest full-year figure since 2020.

Last month, the business revealed Middle East work worth more than £1.5 million to provide offshore grouting, engineering, procurement, installation and commissioning services to an existing customer.

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