JDR, a leading provider of technology connecting the global offshore energy industry, has published its results for the twelve months ended 31 December 2012 together with its Annual Report.
Andrew Norman, Chief Executive of JDR, said:
“I am delighted to report that JDR has delivered a record performance in 2012, which provides a platform for the company to achieve even greater success in the future. Our record revenues and EBITDA of £129.9m and £25.8m for the twelve months ended 31 December 2012 reflect how the investment JDR has made in recent years is now delivering outstanding results.
“Our ability to deliver complex projects, in addition to our growing ‘full-service’ design to aftermarket offering, places us in a powerful position from which to drive sustainable and profitable growth.
“Combined with a favourable market environment, we are confident that JDR has the ability to deliver continued growth in 2013 and beyond.”
Financial Highlights for the 12 months to 31 December 2012
Operational Highlights 2012
Post Period Highlights
Operating update
Revenue for the twelve months ended 31 December 2012 rose from £83.2m in 2011 to £129.9m which, combined with excellent performances by the sales and production divisions, resulted in a record EBITDA of £25.8m for the calendar year. This represented a step change compared with 2011, when the Group delivered negative EBITDA of £4.1m.
Cash flow and net debt
Operating cash inflow of £19.6m in 2012 compared to an outflow of £10.5m in 2011, with £13.3m of this being used to repay debt, consisting of bank lending and shareholder loans. This has significantly strengthened the group balance sheet, so that net assets totalled £31.6m at year end (2011: £13.5m). The accumulated deficit in the profit and loss account has been eliminated.
Our cash flow conversion, measured as operating cash flow less capital expenditure divided by EBITDA, was 59%. Going forward, whilst we expect EBITDA to continue to increase, working capital changes and capital expenditure will increase at a slower rate. This will result in a rise in free cash flow, and an increase in cash conversion rates, which will benefit the business and provide the Group with greater financial flexibility.
Capital Expenditure
Having reaped the benefits of its investment in developing technologies and manufacturing infrastructure, the Group spent £4.3m on its capital expenditure programme for the year. Of this amount, £2.5m went towards continued enhancements at JDR’s state-of-the art Hartlepool plant, which now employs 157 people.
Order intake
JDR had a record order intake of £112.5m in 2012, with a compound annual growth rate of approximately 20% since 2008. The Group expects this level of growth to continue and is confident about the order intake for 2013 and beyond.
Outlook
The new financial year has started well and performance is in line with management’s expectations. This, combined with the growing global market for offshore energy, gives the Board confidence in JDR’s ability to deliver continued growth during 2013 and beyond.
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Press release, April 19, 2013; Image: jdr