Signed build-out contracts for land-based facilities for Salmon Evolution Phase 2 and Geo Salmo Phase 1 have an estimated combined contract value of NOK 2.5 billion ($232.5 million) to specialist Norwegian firm.
Norwegian recirculating aquaculture system (RAS) equipment supplier Artec Aqua parent company, Endúr, which specializes in aquaculture, energy, and maritime services, has reported improved margins and cash conversion for the first quarter of 2024.
Adjusted EBITDA for the quarter was NOK 67 million ($6.23 million), up from NOK 62 million ($5.77 million) in Q1 2023 (pro forma), resulting in an EBITDA margin of 11.6% compared to 9.7% in the previous year.
Revenue for Q1 2024 was NOK 575.8 million ($53.54 million), down from NOK 640.1 million ($59.53 million) in Q1 2023 due to a decrease in construction activities. Endúr expects significant revenue growth into 2024 and 2025.
“We delivered a seasonally strong result, with Marine Infrastructure as the top-performing segment. EBITDA, margin, cash conversion, and order backlog all improved versus the same quarter last year, reflecting enhanced operational performance and even stronger markets for our business segments,” said Jeppe Raaholt, CEO of Endúr.
Order intake for Q1 2024 was NOK 465 million ($43.25 million), increasing the order backlog by 7% to approximately NOK 2.0 billion ($186 million) (Q1 2023: NOK 1.9 billion ($176.7 million)).
The backlog does not include signed build-out contracts for Salmon Evolution Phase 2 and Geo Salmo Phase 1, which have an estimated combined contract value of NOK 2.5 billion ($232.5 million).
“The first quarter is the winter season which obviously affects activity levels for an outdoor marine infrastructure business, but we still delivered a seasonally strong EBITDA margin. We do, however, expect this margin to improve throughout 2024,” said Raaholt.
Revenue for the company’s aquaculture division was NOK 91.7 million ($8.53 million), down from NOK 154.8 million ($14.39 million) in Q1 2023 due to less capital-intensive construction work. Endúr subsidiary Artec Aqua’s workforce was fully utilized on design and planning activities. In March, Artec Aqua was awarded a NOK 70 million ($6.51 million) contract from Eide Smolt for refurbishing a smolt facility, with a construction period of nine months.
