Tekmar Group plc has issued a trading update for the year ending 30 September 2025, confirming that while order intake remains strong, delays in customer procurement decisions will see some revenue move into FY2026.
The AIM-listed provider of asset protection technology and offshore energy services said it now expects to achieve an adjusted EBITDA break-even for the full year. This represents a material improvement in second half trading compared to the £0.7m loss recorded in the first half.
The business, led by CEO Richard Turner since September 2024, is delivering on “Project Aurora” – a medium-term value creation strategy designed to fundamentally change the scale and profitability of the company.
Initiatives include increasing order intake, tighter cash control, launching new business verticals, scaling offshore energy services, resolving legacy warranty claims, and executing M&A opportunities.
Tekmar reported that order intake in the fourth quarter of FY2025 has been particularly strong, with a healthy pipeline expected to create a robust starting backlog for FY2026. Its Offshore Energy Services division is already achieving a higher sales run-rate than in FY2024, with ambitions to scale this part of the business to account for 25% of Group revenue.
Mr Turner said: "We continue to see strength in our inquiry pipeline, which supports a very healthy near-term bidding pipeline for the remainder of 2025 and into 2026. As we flagged with our interim results, the outturn for the current financial year was predicated on the timing of securing significant tender opportunities.
"Whilst the timing of these awards has been pushed out, impacting the current financial year, the shape of the near-term pipeline remains encouraging and supports our efforts to build a sustainably stronger backlog for FY2026 and beyond.
"FY2025 has been a transitionary year for the business - a year where we started with a below par pipeline of opportunities and a business that had significant free capacity; and a year where we have aligned the business to deliver our strategic plan - Project Aurora.
"We remain confident we will translate the healthy pipeline into good quality orders, addressing the underutilisation in the business, and building the platform for sustained growth for 2026 and beyond."
Despite short-term challenges, the company says it remains confident that Project Aurora will deliver long-term growth, supported by a stronger pipeline and improved operational efficiency heading into FY2026.
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