Tekmar Group shares slump as interim revenues fall

Offshore energy services provider Tekmar Group warned on Friday that interim revenues were set to fall as a result of disruptions stemming from the Covid-19 pandemic.

Tekmar stated it had experienced some short-term delays in contract awards and order intake in the six months ended 30 September due to Covid-19, with revenues now expected to be 10% lower year-on-year.

While the AIM-listed group said it remained "confident" that the future of the business was "strong", it also cautioned that the ongoing impact of Covid-19 meant it would continue to withhold any financial guidance for the full year until patterns of demand stabilised.

"Notwithstanding the disruption to project timings, the visibility of the project pipeline is strong and opportunities in the offshore energy market continue to grow and the focus is now on positioning the group to maximise on this potential," said Tekmar.

Elsewhere, new chief executive Alasdair MacDonald's ongoing review of internal operations and activities had the CEO working through the details of a business reorganisation which was said to deliver operational cost savings and further integration efficiencies across the group.

As of 1035 GMT, Tekmar shares had tumbled 44.06% to 40.0p.