APR Energy slips to first half loss

APR Energy reported a 44% fall in revenues to US$87.2 million and net losses of US$16.1 million for the first six months of 2013. It said full-year revenues and profits would be skewed towards the second half of the year because of the commissioning of major projects in Libya and Uruguay.

While revenues have fallen significantly, APR said its pipeline for future work had swelled, with 593 MW of new contracts signed during the first half of the year – up 72% year on year – and the order book currently standing at 14439 MW-months, 59% higher than a year ago.

The company continues to expand its fleet, with capital investment now expected to reach $280 million this year, up from the previous estimate of $250 million. The level of utilisation for its diesel powered fleet is 81%, and 79% for the total fleet, including natural gas powered units.

John Campion, chief executive officer, said: "APR Energy has made significant progress during the first half of 2013, winning 593 MW of new contracts - more than in the whole of 2012. Our regional hub strategy has also delivered results, helping to secure contracts in Indonesia and Oman, and enabling us to service these in record time.

"Our plants in Libya are now all fully installed and commercially operational - a tremendous achievement given that the project is APR Energy's largest-ever installation and was successfully executed despite a challenging operating environment. Due to the scheduled timing of Libya and Uruguay commissioning, revenues and operating profits will skew towards the second half.”

APR announced 147 MW of new contract awards in Mozambique, Indonesia, and Senegal. The Mozambique deal is for gas power modules, which is in line with APR’s strategy to increase its natural gas footprint, using lower-cost, lower-emissions fuel.