Drop in profits for Global Energy in challenging market

Turnover at Global Energy Group fell from £376m last year to £292m to the year end March 2016 with profits falling from £14.2m to £3.1m for the same period.

The group manages its risks by diversifying across a number of highly regulated end markets, which includes a number of sub-segments of the oil and gas industry.

Group Chairman Roy MacGregor commented on the results saying “like many companies in the North and East of Scotland, we are affected by spending decisions linked to the oil price.

“We were able to successfully downsize the business during the year and achieved a profit despite restructuring costs. Cash generated during the period was allocated to the further geographic and market diversification of the Group. This included growth in the Australian LNG, Middle East Marine, UK Chemical Sector and the UK Renewable Energy Markets. We have mixed feelings about the immediate future where we have growth targets in some markets but expect CAPEX-linked business in the UK Oil & Gas market to be difficult”.