Netherlands survey contractor Fugro last year saw strong growth in the offshore wind sector, which partly offset the downturn in the oil and gas industry although its overall 2020 revenues were down 12.4% on the previous year.
The second half of 2020 saw 59% of total revenues coming from the renewables, infrastructure, nautical and other non-oil and gas related markets as Fugro continued to diversify its business.
Growth in offshore wind and cost reductions supported margin recovery to 6.5% in the second half-year compared to 0.6% in the first half of 2020.
“In 2020, the Covid-19 virus took hold around the world and affected all of us. Fugro’s results reflect our resilient operating model, which enabled us to quickly respond to the impact of the pandemic and to continue to benefit from very strong growth in offshore wind,” said chief executive Mark Heine.
Fugro has recently been involved in site investigations for the Hai Long wind farm offshore Taiwan, a coastal zone management project in Sint Maarten, flood-risk mapping in Romania and consultancy services for the construction of Germany’s largest energy infrastructure project, the Suedlink power line.
“Our ambition is to support the transition towards carbon neutrality, sustainable infrastructure and climate resilience,” added Heine.
“For Fugro’s own operations, our target is to be carbon neutral by 2035.”
The contractor on Friday said it has a “solid” 12-month order backlog of 866.2 million euros (US$1.048 billion) albeit 8% lower than the pre-Covid backlog at the end of 2019.
Fugro in 2021 will continue its focus on managing costs and cash flow, and on operational and commercial excellence, with the aim of improving margins.
“We expect to return to more normal market conditions in the second half of the year,” he said.