For the full year 2023, Eqva reported an operating income, excluding discontinued operations, of NOKm 687 (pro forma 2022: NOKm 394) with an adjusted EBITDA of NOKm 42 (pro forma 2022: NOKm 3.3). Revenues were up 75% from last year, and EBITDA margin strengthened from 0.8% to 6.1%.

Products, Solutions & Renewables delivered another strong quarter, which lead to a full year EBITDA margin of 5.6%. Excluding non-recurring effects of total NOKm 13 and a management fee of NOKm 8, the segment delivered an adjusted EBITDA of NOKm 59.2, representing an adjusted EBITDA margin of 8.6%.

The orderbook at the end of the fourth quarter was NOKm 487 (2022: NOKm 300). With this as a foundation, the group expects robust order intake and a high activity level throughout 2024.
“Eqva delivered another solid quarter thanks to our broad portfolio with diversified revenue streams, strong client relationships and our dedicated staff’s hard work. Throughout 2023, we have seen increased activity on key projects in Products, Solutions & Renewables, resulting in notable volume and margin growth,” says CEO Erik Høyvik.

Key strategic milestones
Several strategic events stood out in the fourth quarter 2023. First of all, Eqva divested its shipyard Havyard Leirvik. With this transaction completed, Eqva will now strengthen its efforts to continue the development of BKS and Fossberg Kraft. Additionally, it frees up resources to pursue new investment opportunities that contribute to the green transition in maritime, power-intensive, and renewable industries.

Also in the fourth quarter, Eqva announced a letter of intent to acquire and combine LOS Gruppen with BKS, with the aim to take a leading market position as a full-service supplier for technical installations in maritime-, offshore and land-based industries. The process towards final agreement is progressing as planned, with closing expected in the beginning of second quarter 2024. The closing of the acquisition of Kvinnherad Elektro, announced earlier in 2023, is also expected in the second quarter.

The increased inflation, higher interest rates and market uncertainties continue to influence Eqva’s markets, but the company has a positive outlook for the year. Eqva benefits from its flexibility, its diversified mix of services, and strong customer relationship in Norway. Most demand comes from key customers closely linked to Eqva’s portfolio companies, reducing its exposure to short-term cyclicality in the general economy.

Eqva expects revenues for 2024 to be in the range of NOK 600-700 million with an EBITDA margin in the range of 5-7%. With planned M&A activities included, revenues are expected to increase to NOK 1.2-1.4 billion on a full-year basis, with similar EBITDA range.

In front page photo from left: Petter Sørdahl, CFO and Erik Høyvik, CEO