24 August 2017

Report for Q2 and First half 2017

Bergen Group ASA increased revenue in the second quarter of 2017 to NOK 77 million, compared with NOK 71 million in the previous quarter.

At the same time, the financial platform has been significantly strengthened. Now the group is preparing for further growth.

"During the quarter, we have taken some important steps in the right direction in relation to our goal of establishing ourselves as an attractive industrial group based on the west coast of Norway," summarizes CEO Hans Petter Eikeland, who is positive about the opportunities ahead.

"It is gratifying to report that Q2 represents the third quarter in a row with revenue growth. This gives us a good starting point for assessing structural measures towards other companies where synergies, increased market position and entry into new market areas can be facilitated, "said Eikeland.

The figures for Q2 show a positive operating profit before depreciation and amortization (EBITDA) of NOK 1.5 million, before including a negative accounting effect of NOK 3 million related to option exercise carried out in the quarter.

"Even if we have a healthy operational activity that also in this quarter generates positive margins, we are not satisfied with the profitability in some of the markets we are operating. Therefore, we are now looking at various measures that we expect to give us better earnings also in these markets in the coming quarters”, says Eikeland.

The CEO is pleased that the growth strategy already has contributed positive to the Group’s accumulated numbers.

“We have completed a successful acquisition of AAK Energy Services (now Bergen Group AAK) and made it profitable. This company has now managed to gain a foothold within market areas which we believe has an exciting growth potential”, the CEO points out with reference to the framework agreement with Siemens Wind Power awarded earlier this summer.

The framework contract with Siemens Wind Power AS is a three-year agreement relating to service and maintenance services that require expertise in advanced access technology and work at height. The framework agreement also opens up for other companies in the Siemens system to use the same services and under the same conditions as established in the framework contract.

CEO Hans Petter Eikeland is pleased that the Group's total order book only has been slightly weakened in recent quarter, despite the fact that the subsidiary Bergen Group Services in June did not reach out in the competition for a new maintenance agreement on the frigates.

"It is important to point out that the Norwegian Armed Forces will still constitute an important contractor for Bergen Group Services through a number of other framework agreements. At the same time, we now have the opportunity to make greater use of the company's strong expertise in advanced ship-technical maintenance towards the civilian market. As from 1 August 2017, we have secured increased capacity at both quays and maritime workshop facilities, and expect an increase in the activity towards maritime service going forward”, Eikeland points out.

The Q2 and 1H 2017 interim Report can be downloaded from here.

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