Foundations specialist SIF Group has seen its EBITDA hold steady quarter on quarter at €7.8m.
According to the company’s third quarter results, its adjusted year-to-date EBITDA increased to €28.9m compared to €28.4m in the first nine months of 2021.
The company saw revenue for the first three quarters of 2022 come in at €283m, down from €332m in the first three quarters of 2021.
SIF noted that the difference is mainly due to the structuring of joint venture projects as either a joint- or subcontractor relationship and by pricing fluctuations of steel which is a pass-through cost for the group.
Sif Group CEO Fred van Beers commented: “The sheer size and design of the foundations for the projects currently at hand in combination with the dimensions and outfitting of our production facilities, has had its effects on efficiency. Extra safety measures and very limited manoeuvring space in our facility in Roermond have their impact on manufacturing-flows. Thanks to the skills and craftsmanship of our employees, results in Q3 were satisfactory.
“In total 32 monopiles were completed and 28 transition pieces. We expect total production for the year 2022 to arrive at approximately 172kt. We are on schedule for delivery of the forecast adjusted EBITDA for the full year 2022 which we expect to be slightly higher than the realised adjusted EBITDA in 2021.
“From a strategic perspective, Q3 2022 was a pivotal quarter. We have made good progress with plans to expand manufacturing capabilities and production capacity and expect to be able to give an update on the final investment decision in Q4 2022.
“For emerging markets in Asia, we announced a licence cooperation with GS Entec to assist them with know-how in converting their Busan facility into a monopile production site and to train their employees to manufacture monopiles for the Asian market.
“Meanwhile the first GS Entec employees have visited Sif in Roermond and the cooperation took off expeditiously. For the market in the USA, talks with a potential joint venture partner are progressing. These developments illustrate that Sif not only prepares for the envisaged growth in Europe but also has a keen interest to play a key role as the leading monopile foundations manufacturer globally.”