Scana (SCANA) Q1 2025 earnings summary

Executive summary

• Revenue declined 32% year-over-year to NOK 368 million, driven by low order intake and reduced activity in both Offshore and Energy divisions.

• EBITDA fell to NOK -7 million, with margins pressured by lower absorption of fixed costs, one-off restructuring and arbitration costs, and reduced activity.

• Strategic review for PSW Power & Automation AS is ongoing and may extend beyond Q2 2025 due to weak order intake.

• Cost and efficiency measures have been implemented to address earnings sensitivity and maintain competitiveness.

• Several new contracts signed, including frame agreements with Equinor and international clients for subsea steel components and mooring equipment.

Financial highlights

• Revenue: NOK 368 million, down 32% from Q1 2024.

• EBITDA: NOK -7 million (margin -1.8%), compared to NOK 97 million (margin 17.9%) in Q1 2024.

• Adjusted EBITDA: NOK 4 million, down 92% year-over-year.

• EBIT: NOK -36 million (margin -9.7%), compared to NOK 69.5 million (margin 12.9%) last year.

• Order intake: NOK 524 million, down 5% year-over-year; order backlog: NOK 1,166 million, up 2% year-over-year.

Outlook and guidance

• Cost reduction and efficiency measures continue to align expenses with lower activity levels.

• Strategic review of PSW Power & Automation AS expected to extend beyond Q2 2025.

• Significant resource allocation planned for Mongstad refinery turnaround project in Q3.

• Growing focus on international markets for mooring solutions and increased bidding activity in surface treatment and subsea steel components.

• Long-term order backlog remains solid, supporting future performance.