ENERGY & INDUSTRY..

News & Media

8th Apr, 2018  |  General News

Kentech Celebrate Positive Year End 2017 Results

The Directors of Kentech are delighted to announce strong operating results for 2017.  For the year ended December 2017, Kentech recorded revenue of USD 234.1 million and EBITDA of USD 18.1 million. Kentech’s Total Recordable Incident Rate (TRIR) for 2017 was 0.131 (2016: 0.328), a 60% year-on-year reduction. Total man-hours executed during 2017 were 9.1 million, 1.2 million hours more than in 2016. Kentech’s sales pipeline continues to be robust with a value in excess of USD $3bn.  During 2017, the Group was awarded incremental works and contract extensions from its clients on many projects as a result of strong performance, this included works on Wheatstone LNG in Australia and Odoptu Stage 2 in Sakhalin plus further works from Shell in the Netherlands and on a number of projects in Kuwait.  New awards also included capital project works in Kazakhstan plus a further Master Service Agreement (MSA) with a leading International Oil Company.  The Group was also awarded a series of yard related awards in the Middle East.  Kentech also commenced commissioning planning services for a major North African gas facility. Key focus areas for the service lines are: STS: The Group continuing to build its commissioning services with key global accounts and in particular utilising its master service agreements with the major IOCs.  STS will continue to provide commissioning services on a number of large scale projects in Australia, the Caspian, North Africa and the Middle East into 2018.  Growth is also expected in North America. CHU: The Group will be completing a number of large scale CHU projects in 2018 including Odoptu Stage 2, the Clean Fuels Program in Kuwait, plus a number of projects in Kazakhstan and the Middle East.  Growth is expected to be experienced in Kazakhstan, select markets in the Middle East plus North America.  TMM: The Group has received extensions on existing TMM works in the Middle East and is negotiating extensions on other Middle Eastern contracts and European based projects.  Works also continue to flow from long term field engineering MSA’s, utilisation of such agreements is expected to pick up in line with the stabilisation and increase of oil prices.    The Company thanks all stakeholders for a positive 2017 and looks forward to a positive and safe 2018.      Kentech overview:   Kentech is a speciality service provider to the Energy and Industrial sectors.  The Group’s three service lines offer clients a range of solutions for large scale capital expenditures through to the steady state operational phase of industrial asset development and ongoing upgrades, modifications and expansions.   The Group’s three service lines are:   CHU (Construction & Hook Up): Electrical, instrumentation & telecommunication (EI&T) construction and hook up services on large scale green and brownfield capital developments which include both onshore and offshore assets, be they modular or stick build. TMM (Turnaround, Maintenance & Modifications): Providing long term multi-discipline turnaround, maintenance and modification services during the operational phase of industrial assets. STS (Specialist Technical Solutions): Provision of highly specialised personnel to clients including completions, commissioning and start up support services as assets transition from the development to operational phase. Additionally, intervention/ recovery contracting during peak project demand periods; and preservation works and other critical technical skills that are required for short durations on projects. Kentech’s revenue stream is equally balanced between the three service lines and the client base comprises of leading International Oil Companies (IOCs), large scale National Oil Companies (NOCs), plus a select number of Engineering Procurement and Construction companies (EPCs) and Other Equipment Manufacturers (OEMs). Kentech is a culturally diverse company with 32 nationalities forming its employee base of approximately 4,000. The Group’s permanent geographical footprint includes Australia, Azerbaijan, Georgia, Ireland, Kazakhstan, the Kingdom of Saudi Arabia, Kuwait, the Netherlands, Oman, Qatar, Russia & the Sakhalin Island and the United Arab Emirates (UAE). In addition Kentech provides STS services to its core clients for specialty projects wherever they may be required. 

Read more

TAGS: #Year End Results  #Operating Results  #Financials