Tekmar secures European wind farm contract worth more than £3.3m

Subsea equipment firm Tekmar has won a new contract to supply its cable protection systems, in a deal worth more than €4m (£3.3m).

The Darlington-based business will build its Generation 10 cable protection system and associated equipment for an unnamed European wind farm project - a move which outgoing boss Alasdair MacDonald said strengthens its position in Europe. Workers at Tekmar's Newton Aycliffe base will start on the work immediately with the cable protection systems slated to be delivered in December 2025.

News of the contract emerged on the London Stock Exchange, where in recent weeks Tekmar has announced the appointment of Richard Turner as CEO. Mr Turner joins Tekmar later this summer - a move which board members said brings to a conclusion a multi-year strategy to stabilise the £40m revenue business.

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Alasdair MacDonald, CEO of Tekmar Group, said: "This contract, where we are partnering with a new customer, is testament to our strong in-house engineering capabilities, which enable us to address customers' complex engineering requirements and optimise and de-risk projects. The award helps consolidate our strong position in the European offshore wind market and reflects the strength of our working relationships with project developers and key supply chain partners. We look forward to supporting our partners in successfully delivering this project."

In May, Tekmar reported its highest level of profitability in four years having faced challenges in its key markets. Half year results for the firm show revenues rose slightly to £16.2m, while gross profit was up 33% at £5.4m. A group pre-tax loss of £400,000 was also recorded, but that was lower than last year.

The firm pointed investors to an order book of £24.1m, including work in the energy and subsea markets, and the sale of its Subsea Innovation subsidiary, which went to Aberdeen-based Unique System (UK) in a £1.9m deal. At the time of the results, Tekmar said trading was encouraging and that it expected improved finance performance in the full year, despite some remaining impacts from phasing and timing of customer projects.

Last week the firm announced that Richard Turner, currently CEO at Bristol firm Geoquip Marine, will take charge of the firm in September. Current CEO Mr MacDonald will transition to a role as executive director, and will then become a non-executive director after a six-month transition period.