Highland firm Global Energy Group continued to gain momentum in offshore and onshore wind market according to latest accounts
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Despite challenges posed by Covid the firm says there are positive signs for the future.
Filing as GEG Holdings, the Inverness-headquartered business – which is an international service company involved in the energy market – recorded drops in turnover and pre-tax profit for the year ended March 31, 2021.
A strategic report accompanying the figures stated: “The decrease in revenue and profitability for the year is largely attributable to the outbreak of the Covid-19 pandemic and ripple effect it had on commodity prices globally.
“The group saw an immediate impact on the trading performance of a number of business units and services with the introduction of the country-wide lockdown, travel restrictions and the introduction of social-distancing measures.
“The reduction in the turnover of the group was largely attributable to the group’s offshore construction contractor Global E&C, who saw manpower activity offshore reduce by 50 per cent overnight and had to stabilise the business plan as a result.
“The group also had to retreat back from offshore projects overseas, particularly in Norway, with over 130 personnel retracted as a result of the pandemic. This coupled with a reduced confidence in the oil and gas sector started to impact on project commencements and sanctions with a number of expected awards delayed or cancelled.
“In contrast to reduced confidence in the oil and gas sector, the group continued to gain momentum in the offshore and onshore wind market, with the commencement of the Moray East marshalling project for Ocean Winds at the group’s flagship facility Port of Nigg, along with continued activity on a number of onshore wind farm projects in the UK and further afield.”
Turnover dropped from £244,997,000 in 2019/20 to £181,850,000 in 2020/21. For the same period, pre-tax profit fell from £9,785,000 to £4,894,000.
The report added that the firm was encouraged that the Port of Nigg has “established itself as Scotland’s premier offshore renewables hub”.
The average number of employees fell from 1055 in 2019/20 to 758 in 2020/2021, while staff costs decreased from £64,087,000 to £47,878,000.
