Magseis Fairfield has reported fourth quarter revenue of $4.4 million and $193.4 million for the full year of 2020.
Magseis Fairfield has reported fourth quarter revenue of $4.4 million and $193.4 million for the full year of 2020. EBITA was $12.2 million and $38.4 million for the full year of 2020, excluding $2.9 million of restructuring costs.
Order backlog increased to $198 million, up 17% from Q3 and 20% from year-end 2019. The company’s net cash position is $21.9 million
For the full year 2020, the company showed higher gross margins of 32% and higher EBITDA, a positive operating cash flow and increased backlog, despite lower revenue and a challenging market environment.
‘Revenue increased slightly quarter on quarter with continued healthy gross margins, and we reached our targets for the previously announced cost and capex cuts, said Magseis Fairfield CEO Carel Hooijkaas. ‘At the same time, we saw an increasing order backlog and have continued to receive new contract awards also in the first quarter of 2021. There are signs of the market improving and we are indeed seeing an increased tender activity for 2021 projects in our core areas in the Gulf of Mexico and the North Sea. We potentially see higher utilization of the node inventory than previously anticipated.’
The market outlook for the OBN market is more positive from 2020 to 2021 than earlier presented, said Magseis Fairfield, and the company continues to see growth beyond 2021 due to increasing spend in greenfield and brownfield projects.
Magseis Fairfield said it is also exploring new market opportunities in the energy transition. The wholly owned subsidiary Magseis Renewables will be used as a vehicle to address the long-term market opportunities for OBN solutions in areas such as offshore carbon capture and storage (CCS), windfarm placements, and mineral mining.
