The company, which provides services to the onshore and offshore energy industry, now expects revenue to fall 10 per cent below previous expectations. Jim Moffat, chief executive at Lamprell, said: “With the recent slump in the oil price, winning work in 2015 is going to be a challenge as the industry adjusts to the new realities. We are entering this period in a position of relative strength with a strong balance sheet and a high backlog. We will continue to focus on maintaining our competitive position in the sector.”
In an update to the market, Lamprell said it had delivered a “robust operational and financial performance” during 2014, with six new rig orders won.
Lamprell’s net cash position at the end of December 2014 was around $275m (£182m), and the firm said this would strengthen further in the short term as a result of payments from a number of major projects.
The group stated that 2014 had started positively for its industry and for global equity capital markets, but added: “The final quarter of the year saw a significant deterioration in the energy market following the dramatic fall in oil prices.”