Jan De Nul has reported a 2017 decline in the dredging market which, together with challenging conditions in the oil & gas industry, left a mark on its financial results. In the light of this, the company emphasised the role offshore wind had in its performance last year, adding that it sees further growth in the offshore renewables market, where its business is no longer restricted to Europe.
Commenting on its annual results for the past year, Jan De Nul said the overall figures show a mixed picture with decrease in turnover due to a tight and competitive market, while its financial performances remained strong, and even stronger than in 2016.
The company posted a turnover of EUR 1.76 billion Euro in 2017 (compared to EUR 2.04 billion 2016), however, its EBITDA increased from EUR 339 million in 2016 to EUR 365 million in 2017 and – after depreciations, financial costs and taxes – Jan De Nul still displays a net profit of EUR 70 million.
Smaller capital expenditures in its core markets and declining project scope have directly resulted in lower margins and higher costs given the increased management costs of a multitude of smaller projects. However, thanks to the world’s growing awareness of climate change and commitments to energy transition, Jan De Nul Group experienced increased activity in the offshore renewables market, in and outside Europe, the company stated.
"During its past exponential growth phase, Jan De Nul Group has always succeeded in capitalising on its core competences. Now our business model shows resilience in a downturn, thanks largely to our flexibility and product mix, as well as our technical capabilities, supported by targeted investments, training and a permanent search for talent."
In 2017, Jan De Nul was working on the construction of the two gravity based foundations for the Kriegers Flak offshore wind farm in Denmark. The company installed both foundations in February 2018.
Last year, Jan De Nul carried out several offshore wind farm construction works, including installation of both foundations and wind turbines at the Finnish Tahkoluoto offshore wind farm, turbine installation at the Blyth Offshore Demonstrator Project in the UK, installation of export cables at the UK Race Bank offshore wind farm, and installation of wind turbines at the Nobelwind offshore wind farm in Belgium.
Looking past 2017, the company just finished installing 36 monopiles and transition pieces at the German Borkum Riffgrund II offshore wind farm, where it is also in charge of laying the HVAC export cable. Furthermore, Jan De Nul has also been chosen to install 32 wind turbines for the Trianel Windpark Borkum II (TWB II) in Germany, with the works planned to start in the spring of 2019. Jan De Nul will also install the HVAC export cable for TWB II.
In May 2018, Jan De Nul won a contract for the design, procurement and installation of the wind turbine foundations for the 120MW Formosa 1 Phase 2 wind farm in Taiwan, where it earlier signed a deal for the Changhua offshore wind farm. On the Changhua project, Jan De Nul will be responsible for the foundation design, fabrication and installation, wind turbine installation, supply and installation of cables off- and onshore as well as for the upgrading of the electrical substation.
Offshore WIND Staff