REG - Tekmar Group PLC - €8m Contract, Trading Update and Investor Meeting

TekmarAnnouncement

04/12/2025 07:00

For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20251204:nRSD1741Ka&default-theme=true

RNS Number : 1741K  Tekmar Group PLC  04 December 2025

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is
disclosed in accordance with the Company's obligations under Article 17 of
MAR. Upon the publication of this announcement via a Regulatory Information
Service, this inside information is considered to be in the public domain.

 

Tekmar Group plc

("Tekmar", the "Company" or the "Group")

 

€8m Contract, Trading Update and Investor Meeting

 

Tekmar Group plc (AIM: TGP), a leading provider of asset protection technology
and offshore energy services, is pleased to announce a significant contract
award and an update on trading for FY25 and order book development. The
Company will also host an investor presentation via Investor Meet Company on
Thursday, 11 December 2025 at 10am GMT, with further details of this event
provided below.

 

Significant €8m contract award

Tekmar has been awarded a contract with an existing Engineering, Procurement
and Construction (EPC) customer for a major UK offshore wind farm. The project
value is in excess of €8m and the scope of work includes the engineering and
supply of Tekmar's 10th Generation Cable Protection System and associated
cable ancillaries. The Group will deploy its in-house engineering expertise
and holistic CPS design capabilities to deliver an optimised solution for the
project's specific conditions. Delivery is scheduled for March 2027, with
revenue recognition expected across the Group's FY26 and FY27 financial
periods.

 

Update on trading for FY25 - an improved second half performance

The Board expects to report revenue for the year-ended 30 September 2025
("FY25") in the region of £29m and above breakeven adjusted EBITDA. This is
in-line with market expectations and reflects the anticipated profit weighting
to the second half of FY25 ("H2 25"). A concerted effort was made through FY25
to develop a sustainably larger pipeline of work with a higher degree of both
geographical and end market diversification. The benefit of this became
increasingly apparent as the second half of FY25 progressed, with adjusted
EBITDA for H2 25 showing a material improvement on the H1 25 adjusted EBITDA
loss of £0.7m.

 

As at 30 September 2025, net debt was £2.8m.

 

Record order book and commercial momentum supports confident outlook

Securing higher volume and a balanced mix of work across Tekmar's end markets
has been a primary objective for the business under the leadership of Richard
Turner as CEO. The Board is very encouraged by the order book momentum the
team is building and the progress being made.

 

Increasing order intake. Since 1 July 2025, Tekmar has secured new orders of
c.£29m. Order book as at the date of this release is 60 per cent higher than
the equivalent period one year ago and a record order book for the Company
since its admission to AIM in 2018. These orders will be delivered over the
2026 and 2027 financial years.

 

Securing high-quality work and a balanced portfolio. The business is
maintaining a disciplined commercial approach to projects and, as the volume
of work grows, economies of scale give further opportunity for future margin
development.

 

A significant number of contract wins have been secured since the end of June
2025 that demonstrate the balanced growth Tekmar is achieving across its core
energy markets including:

 

-      Offshore Wind - The c.€8m contract announced today builds on
other milestone agreements announced in recent months. In October 2025, Tekmar
announced a framework agreement with Jan De Nul, supporting TenneT's 2GW
programme in Germany. This follows the framework agreement with Nexans,
announced earlier in the year. These multi-year agreements reflect Tekmar's
standing in the market and commitment to providing innovative, high-quality
solutions that support the success of clients' complex projects.

-      Oil & Gas - In September 2025, Tekmar announced a US$10m
contract award to provide cable protection technology for a major offshore
energy project in the United Arab Emirates. This was followed by a €3.5m
contract award in November 2025 with a leading global oilfield services
provider in the Middle East. These contracts evidence Tekmar's successful
focus on broadening its commercial activity in this very active region. Tekmar
also delivered a £2.0m contract in the Middle East announced in July 2025 to
supply bespoke subsea infrastructure technology for a pipeline project. This
also highlights the significant quick turnround work that is available to the
Group.

-      Ports & Harbours - In October 2025, Tekmar announced a $1.5m
contract award for the provision of bespoke engineered scour protection and
specialized deployment equipment for a new port development. The Board is
anticipating further success in this growing market segment. Ports and
Harbours is a significant growth opportunity for the Group, extending its
asset protection expertise beyond offshore energy into wider marine
infrastructure applications.

Market environment: Tekmar's growth plans laid out in Project Aurora are
underpinned by a prudent forecast of the growing aggregated demand between the
three primary existing markets - offshore wind, oil & gas and port &
harbour developments. This conservative approach gives the business multiple
routes to success in delivering growth in shareholder value.

Excellence in Project Delivery: Tekmar's leaner cost base and revised
organisational structure is positioning the business to capture a sustainably
higher volume of work, alongside increased focus and accountability for
delivery. Having a larger and more diverse backlog is allowing the Group to
utilize its existing available capacity and to deliver higher volumes without
significant capital investment.

Commenting on the contract award and the update on trading, Richard Turner,
Chief Executive Officer of Tekmar Group, said:

"We are delighted to have been awarded the contract to support our
long-standing relationship with a leading EPC customer through the award of
another major UK offshore wind project. This contract reinforces Tekmar's
position as the clear market leader in subsea asset protection, with our
technologies protecting more than 50 GW of offshore wind capacity across over
120 projects worldwide.

 

This significant contract award helps to underline the momentum we have across
our business. We exited FY25 with an improving financial performance and have
started the new financial year with several significant contract wins
resulting in a current order backlog of £29m. This backlog and the commercial
run rate places the Company on a much stronger footing than it was 12 months
ago. We are driving greater volume with high-quality work and building a
balanced order book across our core end markets. Our growing backlog supports
significantly better utilisation and gives us an improved level of revenue
visibility for the next 12 to 24 months. Importantly, we can deliver this
backlog with our current resources, amplifying the benefits of our operational
gearing.

 

The market environment supports growth across our technologies and services.
Cable manufacturers, for example, are reporting strong financial performance
with robust order books and this provides a very positive read-across for our
growth and outlook. We are better organised to capture these opportunities
with a disciplined approach to costs and cash management and an improving
balance sheet. Overall, we are very encouraged by the progress we are making,
and we look forward to making continued positive progress as we execute on our
strategic plan."

 

Investor Presentation via Investor Meet Company

Richard Turner, CEO, and Phil Lanigan, CFO, will host a live presentation via
Investor Meet Company on Thursday, 11 December 2025 at 10am GMT. The
presentation is open to all existing and potential shareholders. Questions can
be submitted pre-event via your Investor Meet Company dashboard up until
Wednesday, 10 December 2025 at 9am GMT, or at any time during the
presentation.

 

Investors can sign up to Investor Meet Company for free and add to meet Tekmar
Group plc via:

https://www.investormeetcompany.com/tekmar-group-plc/register
(https://www.investormeetcompany.com/tekmar-group-plc/register)

 

Investors who already follow Tekmar Group plc on the Investor Meet Company
platform will automatically be invited.

 

Note, the financial information relating to FY25 disclosed in this
announcement remains subject to review and audit as part of Tekmar's year-end
process for the 12 months to 30 September 2025.

 

Enquiries:

 

 Tekmar Group Plc                                              c/o +44 (0)20 4582 3500
 Richard Turner, CEO

 Phil Lanigan, CFO

 Cavendish Capital Markets Limited (Nomad and Broker)          +44 (0)131 220 9772
 Peter Lynch

                                                             +44 (0)131 220 9771
 Neil McDonald

                                                             +44 (0)131 220 9775
 Pearl Kellie

 Gracechurch Group (Financial Media & Investor Relations)      +44 (0)20 4582 3500

 Murdo Montgomery

 Alexis Gore

 

About Tekmar Group plc

 

Tekmar Group plc collaborates with its partners to deliver robust and
sustainable engineering led solutions that enable the world's energy
transition.

 

Through our Offshore Energy and Marine Civils Divisions we provide a range of
engineering services and technologies to support and protect offshore wind
farms and other offshore energy assets and marine infrastructure. With near 40
years of experience, we optimise and de-risk projects, solve customer's
engineering challenges, improve safety and lower project costs. Our
capabilities include geotechnical design and analysis, simulation and
engineering analysis, bespoke equipment design and build, subsea protection
technology and subsea stability technology.

 

We have a clear strategy focused on strengthening Tekmar's value proposition
as an engineering solutions-led business which offers integrated and
differentiated technology, services and products to our global customer base.

 

Headquartered in Newton Aycliffe, UK, Tekmar Group has an extensive global
reach with offices, manufacturing facilities, strategic supply partnerships
and representation in 18 locations across Europe, Africa, the Middle East,
Asia Pacific and North America.

 

For more information visit: www.tekmargroup.com (http://www.tekmargroup.com/)

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  MSCLXLLBELLLFBE



            Copyright 2019 Regulatory News Service, all rights reserved