Gains in the onshore geotechnics market have helped Fugro to record an 8% rise in revenues last year to reach €723M.
Onshore activities accounted for €423M last year, up from €357M in 2011, with the Asia Pacific, Middle East and African markets performing particularly well. Fugro has said that contract for major port developments, road and rail schemes, as well as LNG developments, along with acquisition of EM Drilling in the UK and Mercatus Interport in Hungary had helped deliver the results.
In a statement, the company said: “In Southeast Asia, we are complementing our core Hong Kong and Singapore based geotechnical activities by progressing expansion into Indonesia and Vietnam to develop infrastructure work.”
Nonetheless, Fugro has reported that onshore geotechnical workload has fallen in the US and Western Europe. “Projects there are generally government budget dependent,” said the company. “This specific type of activity is not expected to rebound in the short term and we have re-distributed technical staff and heavy equipment resources (CPTs and drill rigs) to accommodate the local market needs.”
Increased activity in mining was also noted. Fugro is currently providing geotechnical services for a new oil sands mining operations in Western Canada and is continuing to expand its position in the metal mining market in Latin America.
Revenue from offshore fell back slightly in 2012 to €300M from €313M in 2011. “The oil and gas market remains our main source of revenue and provides relatively constant conditions for our offshore site investigation business,” said the company. Demand from the wind energy market also noted to be growing in Europe but Fugro said that profit margins in the region have suffered.