A year of “exponential growth” has seen jobs at First Tech Group reach their highest ever level.
The Aberdeen-headquartered energy services company now has 250 people on its books, compared with 140 a year ago.
As predicted by chairman Martin Suttie, First Tech recorded its “best ever year” in the 12 months to 30 April 2023.
Turnover nearly doubled to £45.5 million, from £23.8m in 2021-22.
Sales were boosted by the mooring specialist’s First Marine Solutions (FMS) and First Subsea subsidiaries claiming a larger market share in their sectors.
Pre-tax profits were £3.4m, reversing losses of £2.5m previously.
Half of group’s total revenue now comes from green energy projects
Earnings before interest, tax, depreciation and amortisation trebled to £7.39m, from £2.3m last time.
Around 50% of group revenue is now attributed to renewable energy activities.
“The good thing is it is not a one-off,” said Mr Suttie, pointing to jobs growth post year-end in 2023.
“We’re expecting to have a similar year in the financial year to April 30 2024,” he added.
We definitely have appetite to grow the business through the organic growth we’re seeing but also through M&A.”
Martin Suttie, chairman, First Tech
“More of the same” is the goal – and inorganic growth through acquisitions is on the cards.
First Tech highlights of 2022-23 included its acquisition of North Sea Compactors, a small business of four people which operates in the oil and gas and renewables sectors.
It complements the group’s First Integrated business.
“We definitely have appetite to grow the business through the organic growth we’re seeing but also through M&A (mergers and acquiistions),” Mr Suttie said.
He added: “I’ll be surprised if we don’t do another deal in the next two years.”
Although First Subsea is “very international”, the rest of the group is focused firmly on the UK North Sea, making up around 75%-80% of its work.
First Tech said a £7m investment in its equipment rental fleet during 2022-23 showed a “long-term commitment” to the sector.
Elsewhere, FMS opened a new office in Glasgow to facilitate growth.
First Integrated is expecting a busier year for maintenance campaigns offshore.
Its training arm, First Competence, has been developing a virtual reality back catalogue.
Growth to continue for First Tech
Mr Suttie said: “We have just experienced our best year ever as a group and what ismost pleasing of all is that we are likely to consolidate that performance this year.”
FMS managing director Steven Brown said £50m turnover was an “achievable” group goal for 2024.
Mr Brown added: “Its particularly pleasing to see the investments we have made in our infrastructure, asset base and people bearing fruit.
“The group has now expanded to over 250 people from 140 this time in 2022.
“This combined with an extremely robust balance sheet positions us for future growth in 2024 and beyond.”
We’re a mooring business, and what could be more important in floating wind than mooring.”
Martin Suttie
The burgeoning floating offshore wind sector is expected to play a big role in First Tech’s future plans.
Mr Suttie added: “We’re a mooring business, and what could be more important in floating wind than mooring? It’s an absolute challenge to moor these huge structures into the most hostile of environments.
“We are experts in that through doing it every day with drilling rigs.”
Conversation