Aker Solutions’ second quarter of 2020 developed positively compared to expectations earlier this year when the COVID-19 pandemic started.
This has resulted in significant improvement of revenue, earnings and order intake in the quarter, due to faster-than-expected implementation of cost-saving measures, higher activity than first anticipated on existing projects and several new contract awards.
In the second quarter, the company expects operating revenue of about NOK 5.4 billion and EBITDA of about NOK 230 million.
Excluding special items, EBITDA is expected to be about NOK 350 million.
Special items mainly relate to restructuring costs of about NOK 115 million as the company adjusted the organization following lower activity levels.
The result improved as Aker Solutions made good progress on its previously announced NOK 1 billion cost saving program.
The company also experienced increased activity in existing projects during the quarter, as the company and operators managed to keep activity levels up, despite restrictions imposed to manage the COVID-19 pandemic.
Sanctioning activity increased after Norwegian authorities introduced temporary tax incentives for oil and gas companies to start new projects.
Aker Solutions won several new contracts for projects on the Norwegian Continental Shelf in June, and the order intake is expected to be about NOK 7 billion in the quarter.
