North-east energy services firm Flowline Specialists has delivered its first set of results under new boss Ross Whittingham, who said growth in renewables work vindicated its decision to diversify.
The Oldmeldrum-based company designs, manufacturers and supplies cable and pipe handling and deployment equipment for the global energy industry.
Ross Whittingham took over as chief executive around the middle of last year, when long-standing CEO Jim Smith left the Queen’s Award-winning business.
Accounts lodged recently at Companies House show Flowline Specialists saw pre-tax profits slide to £112,600 during the 12 months to March 31 2019, from £813,121 the year before.
Turnover fell slightly to £5.33 million, from £5.56m previously, which the firm said was due to changes affecting its operation in Dubai and a dop in oil prices towards the end of its 2018-19 trading year.
The company’s headcount was largely unchanged last year, with the monthly employment tally averaging 55.
Mr Whittingham said: “The results are in line with our expectations, and reflect the cost pressures facing the oil and gas sector around the world as it settled into the current market realities and continues adapting to meet the challenging transition to a lower carbon economy.
“Our level of work in the renewables sector has seen growth which demonstrates that the decision we made a number of years ago to diversify our business was definitely the correct one, something we will continue to pursue in 2020.
“Huge investment is anticipated to be made globally in offshore renewable energy in the coming decades, and our years of experience in this area and transferable skills from the oil and gas sector provides many opportunities.”
He added: “During 2019, we continued to grow our international business, with our Middle East division, Flowline Specialists DMCC, completing work in Bangladesh, India and Australia.
“We have also explored opportunities in North America as part of a trade mission.”
Oil and gas continues to be an important sector for the firm, Mr Whittingham stressed, adding: “We had a lot of very positive discussions at Adipec (Abu Dhabi International Petroleum Exhibition and Conference) last November.
Next month’s Subsea Expo will be a “good barometer” for planned activity in the North Sea, he said.
Flowline Specialists is owned and run by its four directors, including husband-and-wife team Jim and Sandra Rogerson.
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