Revenue from Sif’s wind business increased to almost €352m in 2016 from just over €283m in 2015.
The sector contributed more than €75.4m to the company’s overall gross profit of €86.4m, up from €59.9m out of a total of €71.1m in the previous year.
Sif’s overall revenue stood at just over €400m last year, up from more than €321m in 2015.
Sif chief executive Jan Bruggenthijs described market growth in the offshore wind sector as “very robust” in 2016, which resulted in an “extremely busy second half of the year”.
He cited the company’s investment in the Maasvlakte 2 plant as timely. “We now have a facility that will enable us to produce XL monopiles with an 11-metre diameter, 120-metre length and 2000 tonnes weight.
“This gives Sif Group a strong competitive edge, not just now, but also going forward.”
In 2017, the company’s contracted order book stands at 210 kilotonnes, having been 191 kilotonnes for the whole of 2016.
The contracts include work for the Norther, Beatrice, Hohe See and Rentel offshore wind farms, Sif said.
The company said it is also involved in the tendering process for other offshore wind farm developments.
“The significant drop in LCOE (levelised cost of energy) may result in pricing pressure from Sif’s clients, including for the projects that will continue into the 2018–2020 production period,” Sif said.
“Sif Group will protect its margins by focussing on cost reduction per produced tonne based on high utilisation of its production capacity, improving efficiency even further and actively supporting client’s wishes to reduce steel weight by applying the latest innovations,” it added.
Image: Sif
