The General Meeting of Shareholders of Sif Holding N.V. will be held on Friday 3 May 2019 at 13:00 hours in TheaterHotel De Oranjerie at Kloosterwandplein 12-16, 6041 JA Roermond (telephone +31 475 391 491).
Please find attached the full notice and agenda for this AGM
Sif presented 2018 annual results on 21 March 2019. Attached please find slides for the webcast presentation.
We herewith present you our 2018 annual report as an attachment.
- Continued strong safety performance resulting in LTIF of 0.97 for FY 2018 (1.49 in 2017)
- Production and/or delivery of monopiles and transition pieces for Borssele 3+4, Hohe See, Albatros, Trianel and Norther offshore wind farms
- Delivery of pin piles for Peregrino and Sverdrup jacket foundations
- Innovations support decreasing LCOE for offshore wind
- Contracts won for Seamade and Borssele 1+2+3+4
- New exclusive position for 75 Kton project
- Total throughput of approximately 138 Kton of steel (2017: 232 Kton)
- 102 Kton (or 74%) for offshore wind
- 34 Kton (or 24%) for oil & gas
- 2 Kton (or 2%) for other
- FY 2018 contribution of € 74.3 million (FY 2017: € 135.6 million)
- FY 2018 normalized EBITDA of € 13.3 million (FY 2017: € 57.1 million);
- FY 2018 profit attributable to the shareholder -€ 2.1 million (FY 2017: € 30.8 million);
- Earnings per share 2018 -€ 0.08 (€ 1.21 in 2017);
- Dividend proposal € 0.10 in cash per share (€ 0.30 for 2017);
- Year-end 2018 net working capital € 14.2 million (YE 2017: € 7.1 million)
- Year-end 2018 net debt € 30.4 million (YE 2017: € 25.1 million)
- Order book 210 Kton signed contracts for 2019; 155 Kton exclusive negotiations for 2020 and beyond
Roermond (the Netherlands), 26 February 2019 - Sif Holding N.V. today announces that it has reached an agreement with RABO bank, ING, ABN AMRO, Euler-Hermes and Tokio Marine concerning the refinancing of the Company. The new credit facility of € 350 million in total replaces the facility of € 250 million in total set to expire mid-2019.
The new facility expires 22 February 2022, with two one-year extension options. The facility consists of a revolving credit facility of € 100 million and a committed guarantee facility of € 250 million. The previous arrangement had a revolving credit facility of € 90 million with committed guarantee facilities of € 160 million. The increase in facilities serves to support SIF's future business.
Margins and commitment fees remain unchanged at Euribor plus a surcharge that depends on the leverage and solvency on a quarterly basis. The new leverage (net debt/EBITDA) should be equal to or less than 2.5 (was 1.5 under the expiring facility) and the solvency should be equal to or more than 30% in 2019 and 35% during the years beyond 2019. .
The financing arrangement has also been made sustainable. Sif can earn discounts of max 0.05% if certain sustainability KPI's are reached.
Leon Verweij, CFO: "This amended and broader facility provides sufficient flexibility to pursue our strategy going forward. This new agreement assures Sif a financing structure that fits the characteristics of our Company."
Roermond, the Netherlands, 31 January 2019. After meeting the relevant criteria for three consecutive years, Sif Holding N.V. will become subject to the large company regime (volledig structuurregime) as from 1 February 2019.
The large company regime allows employees to have a say in the appointment of supervisory board members and certain power is shifted to the supervisory board in accordance with the Dutch Civil Code.
The applicability of the large company regime amongst others entails the following:
- the supervisory board will have the power to appoint executive board members;
- the supervisory board members shall be appointed by the general meeting on the basis of a binding nomination drawn up by the supervisory board;
- both the general meeting and the works council have the right to recommend candidates to the supervisory board for the nomination;
Dutch law requires that a large company conforms its articles of association to the rules applicable to large companies. The articles of association of Sif Holding N.V. already allow for the consequences of Sif Holding N.V. becoming subject to the large company regime. The articles of association that apply as from 1 February 2019 are available on the company's website and as an attachment to this press release.
For further information, please contact:
Sif Holding N.V.
Fons van Lith
telephone +31 (0)475 385 777
mobile +31 (0)6 5131 4952
e-mail [email protected]
Roermond, the Netherlands 12 December 2018. Sif Holding N.V. announces that Dredging International has awarded to Sif the production of 58 monopiles and the primary steel of the transition pieces for SeaMade offshore wind farm.
The contract has been awarded by EPCI-contractor Dredging International, a DEME Group's subsidiary. The transition pieces will be manufactured in joint venture with Smulders in Hoboken.
SeaMade offshore wind farm is located approximately 40 to 50 km off the coast of Ostend (Belgium) in 22- 38 m water depth. SeaMade will be developed by SeaMade N.V., a joint venture of the Otary group (70%), Electrabel (Engie) (17.5%) and Eneco Wind Belgium (12.5%). The 487 Megawatt offshore wind farm will comprise of 58 Siemens- Gamesa turbines each with an individual installed capacity of 8.4 MW and will be placed on monopile foundations. The monopiles and primary steel for transition pieces will be produced by Sif. Smulders will manufacture secondary steel and be responsible for the outfitting of the transition pieces.
The total volume of the project will amount to approximately 60 ktons for the MP's and 13.7 ktons for the primary steel for TP's. The production is scheduled for 2019. The project is already in the orderbook of Sif as presented when releasing interim 2018 results in August last. At that time still as a project where Sif and Dredging International were in exclusive negotiations. Following financial close on 3 December last, the contract is now firm.
- High sales activity in closing and pursuing monopile projects for 2019-2021 timeframe
- Appointment and start of CEO Fred van Beers
- Production resumed in August after 4-month black-out period
- Successful testing of blue piling innovation
- Material supplies and load-outs delayed beyond Sif's control
- Year-to-Date contribution decreased to €57.0 million (€104.7 million YTD 2017)
- Adjusted EBITDA Year to Date fell to €13.0 million (€44.9 million YTD 2017)
- Operating Working Capital at end of Q3 2018 €28.4 million (€32.7 million at end of Q2 2018)
- Net Debt at end of Q3 2018 €43.1 million (€52.5 million at end of Q2 2018)
- Throughput of 19 Kton brings Year to Date production to 100 Kton (167 Kton YTD Q3 201
- 74% for offshore wind
- 26% for offshore oil & gas & other
- Order book 45 Kton for Q4 2018, 200 Kton for 2019 and 90 Kton for 2020
Roermond, the Netherlands 25 October 2018. Sif Holding N.V. announces that Ørsted has awarded to Sif the production of 47 monopiles (approx. 40 Kton) for the Borssele I-II offshore wind farm.
Richard Jongen, Commercial Manager Wind Sif: "This is the first time Sif is going to manufacture the offshore foundations for a wind project on behalf of Ørsted. With our new assembly facility and state-of-the-art deep-sea quay on Maasvlakte II (Port of Rotterdam), Sif is ideally located and perfectly equipped to efficiently produce and deliver the monopile foundations. Sif is very pleased to contribute to a successful offshore wind project off the Dutch coast such as Borssele I-II."
The Borssele I-II wind farm is located approximately 22 kilometers out to sea from the coast of Zeeland in The Netherlands. The project will cover an area of 138 square kilometers with water depths of up to 38 meters and will comprise of 8 MW Siemens Gamesa 8.0-167 DD wind turbines. The turbines will be installed on 94 monopile foundations with transition pieces. The total installed capacity of the Borssele I-II wind farm will be 752 MW.
The production of monopiles is scheduled for 2019. The project is already in the orderbook of Sif as presented when releasing interim 2018 results in August last.
On 24 August 2018 Sif released interim 2018 earnings. The results were explained by the executive board during a webcast analyst presentation.
Attached please find the slides that are used at this presentation
Contract won for Borssele 3&4; financial close 28 June 2018
Contract won for Tyra jacket components
Delivery of monopiles and transition pieces for Hohe See and Borkum West 2 (Trianel) offshore wind farms
Delivery of pin piles for Johan Sverdrup and Peregrino jacket foundations
Extensive maintenance program and layout adjustments during period of low utilization
Total throughput of approximately 81 Kton steel (108 Kton in HY1 2017)
- 78% for offshore wind (91% HY1 2017)
- 22% for offshore oil & gas (9% HY1 2017)
Contribution of € 45.6 million (HY 2017: € 74.4 million)
EBITDA adjusted for IPO costs reached € 14.0 million (HY 2017: € 33.7 million)
Revenue reached € 145.9 million (HY 2017: € 156.2 million)
Operating working capital stood at € 32.7 million (HY 2017: € 18.1 million; YE 2017: € 7.1 million)
Net debt totaled € 52.5 million (HY 2017: € 47.7 million; YE 2017: € 25.1million)
Order book per 23 August 2018 of 150 Kton for 2018, 200 Kton for 2019 and 90 Kton for 2020
Post reporting events:
New CEO nominated for appointment at General Meeting of Shareholders 31 August 2018
Successful test of Blue 25M hammer installation technology by Carbon Trust and Fistuca
Entered into exclusive negotiations for projects for 2019 (total approx. 115 Kton)
View attachment for the full interim 2018 report
Roermond, The Netherlands, 10 July 2018. The Supervisory Board of Sif Holding N.V. will nominate Fred van Beers for appointment as the company's new CEO effective 1 September 2018 at the General Meeting of Shareholders to be held on 31 August 2018. The Works Council has been informed and requested to provide advice.
Q1 strong commercial quarter
- Contract award for Borssele III & IV for production 2018 (wind)
- Deutsche Bucht Demonstrator Project for production in 2018 (wind)
- 100 Kton exclusive negotiations for production in 2019 (wind)
Delivery of monopiles and transition pieces for Hohe See, Norther and Albatros offshore wind farms
Delivery of pin-piles for Johan Sverdrup jacket oil & gas project
Total throughput of approximately 52 Kton steel (66 Kton in Q4 2017)
- 82% for offshore wind
- 18% for offshore oil & gas
Financial key figures:
Contribution € 27.6 million (€ 30.9 million Q4 2017)
Normalized EBITDA € 10.1 million (€ 12.2 million Q4 2017)
Net Working Capital at the end of Q1 2018 € 34.8 million (€ 7.1 million at year-end 2017)
Net Debt at the end of Q1 2018 € 48.2 million (€ 25.1 million at year-end 2017)
Order book approximately 185 Kton for 2018 and 160 Kton for 2019
Roermond, the Netherlands 20 April 2018. Sif Holding N.V. announces today that it has been awarded the production of 77 monopiles (68 Kton) for the Borssele III & IV offshore wind farm. Borssele III & IV is developed by a consortium (Blauwwind II) comprising Shell, Eneco, Van Oord, and Diamond Generating Europe, a wholly owned subsidiary of Mitsubishi Corporation. The contract has been awarded by Van Oord as the EPCI contractor for the project and is subject to financial close.
The Borssele III & IV wind farm is located approximately 22 kilometers out to sea from the coast of Zeeland in The Netherlands. The project will cover an area of 122 square kilometers with water depths of up to 38 meters and will comprise of Vestas V164-9.5 MW wind turbines. The turbines will be built on monopile foundations without transition pieces. The total installed capacity of the Borssele III & IV wind farm will be 731.5 MW.
The production of monopiles is scheduled from early July until December 2018. The project was already presented in the orderbook of Sif as "exclusive negotiations" and will now be presented as a firm contract. This brings the total orderbook for 2018 at 183 Kton
Today Sif released Q4 and FY 2017 earnings. The results were explained by CEO and CFO during a webcast analyst presentation.
Attached please find the slides that are used at this presentation.
Operational highlights Q4:Continued strong safety performance resulting in LTIF of 1.49 for FY 2017 (2.83 in 2016)
Production of monopiles and transition pieces for Hohe See, Albatros, Borwin 3, Trianel and Norther offshore wind farms
Delivery of pin piles for Peregrino jacket foundation
New location at Rotterdam (Maasvlakte 2) running at full capacity
Total throughput of approximately 66 Kton of steel (Q4 2016: 49 Kton) results in FY 2017 production of 232 Kton (FY 2016: 191 Kton)
o 208 Kton (or 90%) for offshore wind
o 24 Kton (or 10%) for oil & gas
Key figures Q4 and FY2017:
Q4 contribution of € 30.9 million (Q4 2016: € 30.9 million) results in FY 2017 contribution of € 135.6 million (FY 2016: € 129.5 million)
Q4 normalized EBITDA of € 12.2 million (Q4 2016: € 10.5 million) results in FY 2017 normalized EBITDA of € 57.1 million (FY 2016: € 65.4 million);
FY 2017 profit attributable to the shareholder € 30.8 million (FY 2016: € 37.4 million);
Earnings per share 2017 € 1.21 (€ 1.47 in 2016);
Dividend proposal € 0.30 in cash per share (€ 0.37 for 2016);
Year-end 2017 net working capital € 7.1 million (YE 2016: € 8.3 million)
Year-end 2017 net debt € 25.1 million (YE 2016: € 42.0 million)
Order book 115 Kton signed contracts and 70 Kton exclusive negotiations for 2018; 60 Kton signed contracts for 2019
Roermond (the Netherlands), 13 March 2018 Sif Holding N.V. ("Sif", or the "Company") today announces that Jan Bruggenthijs will not be available for reappointment as CEO and member of the Executive Board.
Mr. Bruggenthijs (60) will step down for personal reasons upon the end of his current term at the close of the Annual General Meeting of Shareholders (AGM) on 3 May 2018. Mr. Bruggenthijs has been CEO and member of the Executive Board since September 2014. The Supervisory Board would, on behalf of the Company, like to thank Mr. Bruggenthijs for his endeavours and wishes him all the best. Under his leadership, Sif has reinforced its leadership position as a manufacturer of foundations for offshore windturbines and oil & gas equipment.The Supervisory Board has begun the process of finding potential candidates to fill the vacancy that will arise following the end of Mr. Bruggenthijs' term.
Roermond, 22 February 2018. The Supervisory Board of Sif Holding N.V. will nominate Mr Peter Visser and Mr Peter Wit for appointment as members of the Supervisory Board at the General Meeting of Shareholders to be held on 3 May 2018 in Roermond.Peter Visser (1956), Dutch nationality, was appointed ad interim on 1 November 2017. The Supervisory Board appointed him following the sudden resignation of Alexander van Wassenaer in October 2017. Peter Visser represents major shareholder GKSE Holding B.V. on the Supervisory Board. He co- founded investment fund Egeria in 1997. From 1992 until 1997 he was managing director at MeesPierson N.V. and responsible for their private equity activities in Europe. From 1983 until 1992, he worked for McKinsey & Company and founded his own consulting firm Management & Investment B.V.
Peter Wit (1967) Dutch nationality, COO at Atlas Services Group. From 1992 until 2009, he worked at Shell amongst others as VP Finance at Shell Solar and as COO & Finance manager at Shell Asset Management Company. From 2009 until 2013, he was CFO at Dockwise Ltd. From 2013 until he recently joined Atlas Services Group, he was CFO at Inashco. Peter Wit will be nominated as successor for Maarten Schönfeld who recently indicated he is not available for reappointment.Extended personal data resumes will be available at the Company's offices from 15 March 2018.
Roermond (The Netherlands), 29 January 2018. Sif Holding NV announces that Mr Maarten Schönfeld has stated he will not be available to serve another term as Member of the Supervisory Board of the company when his current term ends at the close of the Annual General Meeting of Shareholders (AGM) on 3 May 2018.
Maarten Schönfeld joined the Supervisory Board in 2016 for a two-year period during which he would focus mainly on supporting the company following its listing on Euronext Amsterdam in 2016.This period will end at the close of the 2018 AGM.
The Supervisory Board has begun the process of finding potential candidates to fill the vacancy that will arise following the end of Mr Schönfeld's term.
Highlights and Key Figures for Q3 2017
Official opening of the new production plant at Maasvlakte 2 in Rotterdam
Contract awards for Tritan Knoll (offshore wind) and Peregrino (oil & gas)
Timely delivery of monopiles and transition pieces for Hohe See and Rentel offshore wind parks
Timely delivery of pin-piles for Oseberg and Sverdrup oil & gas jacket foundation
Contribution Year to Date increased by 6.2% to € 104.7 million (€ 98.6 million YTD 2016)
Normalized EBITDA Year to Date decreased by 18.2% to € 44.9 million (€ 54.9 million YTD 2016)
Operating Working Capital at end of Q3 2017 € 6,5 million (€ 18.1 million at end of Q2 2017)
Net Debt at end of Q3 2017 € 32.1 million (€ 47.7 million at end of Q2 2017)
Throughput of 59 Kton brings Year to Date production to 167 Kton (142 Kton YTD Q3 2016)
- 90% for offshore wind
- 10% for offshore oil & gas
Orderbook 53 Kton for Q4 2017, 122 Kton for 2018 and 60 Kton for 2019
See attachment for the full release
Roermond, 1 November 2017. Following the resignation of Alexander van Wassenaer from the Supervisory Board of Sif Holding N.V., Peter Visser is appointed a Supervisory Board member as of today on an ad interim basis.
Peter Visser (1956) represents major shareholder GKSE Holding B.V. on the Supervisory Board until a successor is nominated and appointed by the Annual General Meeting of Shareholders scheduled for 3 May 2018.
Peter Visser co- founded investment fund Egeria in 1997. From 1990 until 1997 he was managing director at MeesPierson N.V. and responsible for their private equity activities in Europe. From 1983 until 1990 he worked for McKinsey & Company and founded his own consulting firm Management & Investment B.V.
Roermond, 23 October 2017. Alexander van Wassenaer resigns with immediate effect from the Supervisory Board of Sif Holding N.V. for personal reasons.
Alexander van Wassenaer represented major shareholder GKSE Holding B.V. on the Supervisory Board and was first nominated in January 2016. The Supervisory Board of Sif will engage in procedures to propose a successor on the Supervisory Board for nomination at the Annual General Meeting of Shareholders scheduled for May 2018.
The Management Board and Supervisory Board would, on behalf of the Company, like to thank Alexander van Wassenaer for his contribution to the development of Sif from a private into a public company and wish him success in his future career.
Roermond, the Netherlands, October 2, 2017. The Dutch Minister of Economic Affairs, Henk Kamp, on Friday officially opened the new assembly and coating facility operated by Sif Holding N.V. at Rotterdam's Maasvlakte 2 terminal.
The new facility will increase Sif's annual capacity from 225 kilotons to 300 kilotons. Components manufactured at the Roermond site can be assembled at the Rotterdam facility into complete monopiles with a diameter of up to 11 meters, a length of 120 meters, and a weight of around 2,000 tons. Once the complete monopiles have been coated in the four separate blasting and painting rooms, they are stored on the facility's 103-acre grounds until delivery via the specially constructed quay. The grounds can accommodate the simultaneous loading of two installation ships of monopiles and transition pieces.
The facility is currently equipped with two fully operational production lines, which have the capacity to produce four complete monopiles per week.
In his officiating speech at the opening ceremony, Dutch Economic Affairs Minister Henk Kamp expressed his admiration for the groundbreaking efforts by Sif to develop offshore wind energy as an energy source: "As a family-owned business with solid roots in Limburg province, Sif has undergone remarkable growth and development and helped to ensure that the need for subsidies for building offshore wind turbines will be eliminated within the next few years. This means we are on track to become a low-carbon society."
In his speech, Port of Rotterdam CEO Allard Castelein stated his hope that the Minister would be able to translate the objectives of the sustainability sector into a long-term vision for further advancing the development of wind as a source of energy: "Wind energy is a perfect example of a win-win situation. In addition to resulting in cleaner energy consumption, creating jobs, and generating revenue in a whole new segment of industry, it also attracts many related businesses looking to settle in this area."
Sif Holding N.V. CEO Jan Bruggenthijs expressed his pride at the successful completion of the project and explained the significance of the new facility in his speech: "This is a perfect representation of the goals that Sif is committed to. We continue to focus on reducing the costs of the construction of offshore wind farms. We do this not only by applying the cost leadership concept to the use of ultra-modern production resources but also by constantly reducing costs in the total value chain. Together with our clients and offshore wind-farm developers, Sif will continue searching for further cost optimization and supporting the possibility to create wind farms without subsidies."
The project took a total of approximately 30 months to complete, from the signing of the partnership agreement between Sif and Port of Rotterdam in March 2015 and the launch of production in September 2016 up to and including the commissioning of the second production line and the facility's official opening this year. The operation coincided with the upgrade of the production facilities at Sif's Roermond site. This marks the completion of an investment program involving an amount of roughly € 90 million, created by Sif to enable offshore wind-farm managers to start using a new generation of wind turbines with larger capacities.
Roermond, the Netherlands 20 September 2017. Sif Holding N.V. announces that Triton Knoll Offshore Wind Farm Ltd and a joint venture of Sif Netherlands B.V. and Smulders Projects Belgium N.V. have signed Preferred Supplier and Early Works Agreements for the design and fabrication of 90 monopiles and transition pieces as well as 2 foundations for offshore substations. The estimated total weight of Sif's part of the project is 56 Kton.
Triton Knoll is an offshore wind farm developed by a joint venture of Innogy Renewables UK Ltd and Statkraft AS, located 32 km off the coast of Lincolnshire and 50 km off the coast of north Norfolk. The project will have an installed capacity of 860 MW and will use MHI Vestas' V164-9.5 MW turbines with a maximum tip height of up to 187 m. The project plans to install 90 wind turbines, 2 offshore substations, 1 onshore substation, associated inter-array cables and export cables that are routed both offshore and onshore.
For the design portion of the work Sif and Smulders have selected one of the leading engineering companies in this field, UK based Atkins Ltd. Atkins has established a successful track-record over the years in the engineering and design of similar offshore foundations
The engineering and design for the project will start before the end of the month of September 2017 based on an Early Works Agreement. Fabrication will start in the first quarter of 2019 following the Financial Closure of the project, which is expected to be halfway 2018.
Roermond (The Netherlands), Taoyuan City (Taiwan) 14 September 2017. Sif Netherlands B.V. and Century Wind Power Co. Ltd announce their intention to join forces for the Taiwanese offshore wind market.
The Taiwanese offshore wind market is developing rapidly and the Taiwanese government's renewable energy policy aims to achieve a status of "non-nuclear homeland" by the end of 2025. The goal is to install 3 GW of offshore wind capacity by 2025. Century Wind Power Co. and Sif want to contribute jointly to this ambitious target.For that purpose, the parties have signed a letter of intent, confirming their objectives and investigating the possibilities of a joint venture to offer and produce monopiles and transition pieces for the Taiwanese market. Until the Taiwanese market demonstrates a structural demand for offshore wind monopile foundations, sections will be manufactured at Sif's locations in The Netherlands to be assembled and coated by Century in Taiwan
Roermond, 1 September 2017. COO Luc De Proost (57) has announced his intentions to leave Sif- group ("Sif" or "Company") to pursue his career outside the company. Mr. De Proost has been the COO of Sif since October 2015.
Mr. De Proost will leave Sif once the Company has engaged a new COO.
The management and supervisory board would, on behalf of the Company, like to thank Mr. De Proost for his contribution and achievements over the last period and wish him success in his future career.
about sif holding n.v.
Sif is a leading manufacturer of large steel tubulars which are used as foundation components for the offshore wind and offshore oil & gas markets. The Company manufactures customised tubular components for offshore foundations, predominantly in the greater North Sea region. Sif combines a highly automated and flexible production facility with technology leadership in rolling and welding of heavy steel plates which is based on over 66 years of experience and innovative in-house developed techniques and processes. Sif primarily produces monopiles, transition pieces and piles that are used to anchor jacket foundations in the seabed for offshore wind turbines, as well as legs, pile sleeves and piles of the larger jackets for oil & gas as well as tubular structures for various uses such as jetties. Sif is listed at Euronext Amsterdam.
For further information, please contact:
Sif holding n.v.
Fons van Lith
+31 (0)6 513 14952 (mobile)
More information about Sif is available electronically via the website of Sif: www.sif-group.com.
Operational Highlights and Key Figures for H1 2017
- Contract wins for Norther and Hohe See in Q1 and for Borkum II and Albatros in Q2
- Delivery of monopiles and transition pieces for Galloper and Rentel offshore wind parks
- Delivery of pinpiles for Beatrice and Sverdrup jacket foundations
- Production expansion program in Rotterdam (Maasvlakte 2) and Roermond on schedule for increase of capacity from 225 Kton to 300 Kton per annum by the end of 2017
- Total throughput of approximately 108 Kton steel (97 Kton in HY1 2016)
- 91% for offshore wind (88% HY1 2016)
- 9% for offshore oil & gas (12% HY1 2016)
- Contribution increased by 14.1% to € 74.4 million (HY 2016: € 65.2 million)
- Higher set- up and start- up expenses both recurring and non- recurring had an impact on EBITDA; EBITDA normalized for IPO costs reached € 33.7 million (HY 2016: € 36.9 million)
- Revenue decreased to € 156.2 million (HY 2016: € 205.3 million)
- Operating working capital stood at € 18.1 million (YE 2016: € 8.3 million)
- Net debt totaled € 47.7 million (YE 2016: € 42.0 million)
- Order book of 109 Kton signed contracts for 2018
CEO Jan Bruggenthijs:
"Sif once again contributed to some of the most prominent energy projects in Northwest Europe in the first half of 2017 through deliveries for Sverdrup, Rentel and Galloper. The commissioning of the first production line at our new Rotterdam-based facilities played a crucial part in being able to complete the products for these projects on time. Production increased by more than 11% in the first half of 2017 compared to the same period of last year. Contribution rose 14% vis-à-vis the first half of 2016. The costs of commissioning the new production facilities and start- up expenses were, however, higher than anticipated and production efficiency was less than in the first half of 2016, which was strong on the back of exceptional project results. This placed pressure on EBITDA in this reporting period. For the second half of 2017 we anticipate that these start- up issues will gradually be resolved. We anticipate that the EBITDA shortfall in the second half of 2017, compared to the second half of 2016, will be roughly half of the shortfall in EBITDA for the first half of 2017 compared to the first half of 2016.'
The order book and the pipeline are the main performance indicators for the future. Projects such as Albatros and Borkum II have increased our order book for 2018 to 109 Kton. Other projects, including St Nazaire and Courseulles in France and Fryslan in the Netherlands, scheduled for 2018 have been shifted to 2019 primarily relating to environmental issues. Some projects, such as Borssele in the Netherlands, have been pushed back for other reasons. With annual capacity of 300 Kton from 2018 and only few remaining opportunities for production in 2018, we anticipate some underutilization of production facilities, which demonstrates the volatility of the project-driven industry of which Sif is a part. Momentum for offshore wind has, however, accelerated with unsubsidized contract wins, decreased LCOE for offshore wind in Europe, increasing interest in the United States and the Far East and contracts for the first projects for 2019 under negotiation."