New Heights for Reach Subsea as Record-Breaking Numbers are Achieved in 2023
Published on February 14, 2024, by Nadja Skopljak
The recent quarterly and annual financial results from Reach Subsea have exceeded all previous records, thanks to substantial growth, better pricing strategies, and efficient project management.
Source: Reach Subsea
During the fourth quarter of 2023, Reach Subsea saw a significant increase in revenue, up by 45% to NOK 474 million ($44.5 million), while EBIT surged by 130% to NOK 79.5 million ($7.4 million). The total revenue for the year 2023 reached NOK 1,996 million, with an EBIT of NOK 332 million, resulting in an EBIT margin of 17%.
Furthermore, the company’s order book expanded by 62% compared to the previous quarter, indicating a promising future with a backlog of NOK 1.2 billion and a tender volume of NOK 8 billion. These figures bode well for Reach Subsea’s upcoming projects in 2024 and beyond.
According to Reach Subsea’s CEO, Jostein Alendal, the company is on a trajectory of substantial organic growth, leveraging its established foundation, expanding services globally, and aligning its capabilities with various ocean sectors. Introducing cutting-edge technologies to cater to these markets, Alendal expressed his utmost confidence in the company’s future prospects.
Alendal emphasized, “The outstanding performance in the fourth quarter and throughout 2023 showcases Reach Subsea’s ability to drive revenue growth consistently while maintaining higher margins. With a decade of consecutive revenue growth, we are well-positioned to elevate our operations to the next level. The outlook is exceptionally strong.”
In recent years, Reach Subsea has notably extended its service offerings to renewable and global markets. The strategic acquisition of Guardian Geomatics marked a pivotal milestone in gaining access to the Australian market, facilitating the integration of the Reach Remote USV into the company’s portfolio.
As the integration of Guardian Geomatics progresses, Reach Subsea anticipates launching its first two Reach Remote USVs for commercial use in the upcoming main season of 2024. The vessel outfitting, subsystem development, and control center enhancements are well underway, with subsystem testing commencing soon. Full-scale testing, certification, and client verification are slated to begin later this spring.
Alendal commented, “The introduction of Reach Remote signifies our leadership in marine robotics, and we are eager to unveil these vessels later this year. Despite a slight delay in the launch schedule, we anticipate no significant setbacks.”
In January, Reach Subsea shared its positive outlook and record-breaking financial figures for 2023.