Subsea engineering company TechnipFMC has returned to profit after what it called a "breakout year".
The multinational firm - which has a base at the Walker Riverside in Newcastle, making deep sea cables that carry communications and power - reported profit of £66.9m ($87.8m) last year, up from a loss of £2.7bn ($3.52bn).
Revenue was down slightly at £4.8bn ($6.4bn) from £4.9bn ($6.5bn) the year before, while the firm hailed an inbound order book of £5.1bn ($6.8bn) - a strong performance it expected to continue through the next three years at least.
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Doug Pferdehirt, chair and CEO of TechnipFMC, said: “We are confident that we have entered a multi-year upcycle for energy demand. TechnipFMC is well positioned for this activity growth given our leadership in both subsea and the Middle East.
"Total company inbound orders grew an impressive 33% versus the prior year to $6.8bn, with continued strength expected through at least 2025."
TechnipFMC's subsea division reported a fall in revenue from £4.1bn ($5.4bn) to £4bn ($5.3bn), while operating profit for the division was £107.6m ($141m) last year - up from a loss of £2.1bn ($2.8bn). The order book for this part of the firm was £3.8bn ($5bn) for the year.
Mr Pferdehirt added: "Our subsea opportunity list has expanded to a record level of more than $20bn, providing increased visibility into the middle of the decade.
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"The growth in part reflects the continued robust front-end activity. Our early engagement and client partnerships support our view that subsea tree awards for the total industry are likely to exceed 350 in the current year – a level not seen since 2013. For TechnipFMC, we anticipate subsea inbound order growth of up to 30% in 2022, with iEPCI, direct awards and subsea services approaching 75% of orders.
“We are confident that the robust outlook combined with changes in our business model will translate into improved operational and financial performance.
"Our strong project execution and continued industrialization of our operations leave us well positioned to achieve improved profitability across the portfolio, including a near doubling of subsea EBITDA by 2025. This, along with our emerging role in the energy transition, will allow us to thrive as the energy architect in both present and future energy markets.”
TechnipFMC highlighted several new contacts for the subsea division in 2021 including a long-term deal with Petrobras in Brazil, work on the ExxonMobil Yellowtail Project in Guyana, the Equinor Smørbukk Nord iEPCI Project, and the Petrobras Búzios 6 Field Project.