26 February 2016

Bergen Group ASA: Interim Report for Q4 2015

Bergen Group's results for Q4 2015 are mainly influenced by the fulfilled restructuring process in the group, combined with a challenging market in the oil and gas sector.

We are now looking forward to see the impact and positive results of a challenging restructuring period. The foundation for a profitable operation and new growth is in our opinion already present in the current quarter”, says CEO Hans Petter Eikeland.

Bergen Group's continuing operations in Q4 2015 had revenues of NOK 37 million after intercompany eliminations and an operating loss before depreciation (EBITDA) of NOK 12 million. The Group's liquidity situation is still strained. The group works with processes with an aim to establish a capital structure intended to improve the liquidity situation and provide a more robust and long-term financial situation.

The remaining operations in the Group, which is now exercised by its subsidiary Bergen Group Services AS, has a strong order backlog primarily related to the company's expertise in complex maritime service project. This business area has been profitable even through the turbulent previous year.

Hans Petter Eikeland is satisfied that the company in Q4 was rewarded new and important framework agreements from strong industrial partners within maritime services.

“This will provide the company with an additional activity growth in 2016”, says the CEO who  strengthen the order book with another NOK 70 million this week,. This is related to the Armed Forces decision of a one-year extension on the contract for ship maintenance on the Navy frigate class.

“It is considered positive that the military maintains a comprehensive maintenance program at a time when much of the industry is affected of lower activity levels within the oil and gas sector. In times like this, it is vital that the industry are able to uphold their expertise built up over many years”, says Eikeland.

Bergen Group Services AS will continue to maintain a strong focus on maritime service combined with service and prefab deliveries into the onshore industry. The company has also taken steps in order to expand current activity in the oil and gas industry to also include a market covering the whole energy sector.

“Bergen Group Services has over time built up a solid expertise in complex maritime service project. Much of this expertise and experience have potential to be utilized towards the innovative "green" energy market. In addition, alternative markets and cooperation opportunities that can contribute to further growth will be assessed”, says CEO Hans Petter Eikeland.

For further details, reference is made to the attached interim report for Q4 2015.

Contact persons:
CEO Hans Petter Eikeland, tel. 932 08 177
CFO Nils Hoff (finance), tel. 930 92 346
SVP Corporate Functions & Communications Øyvind Risnes, phone +47 480 48 561