Oil rig contractor Ades International Holding PLC (LON:ADES) posted revenues 30% higher in 2018 as new rigs contributed for the first time and utilisation rates rose.
Underlying profits rose by 26% to US$101mln, helped by a rise in the number of rigs under operation to 28 from 12 in 2017.
Utilisation rates rose to 85% from 78%.
The order backlog at the end of February totalled US$1.5bn, which was helped by completion of a 31 onshore rig purchase from US group Weatherford.
Ades specialises in the supply of onshore and shallow water jack-up rigs in Egypt and the Middle East, but recently won its first contract for a deepwater rig in the Mediterranean Basin.
Loans to fund these acquisitions pushed net debt up to US$424mln, but Ades expects its working capital to normalise this year even though it is forecasting a material rise in sales over the year.
There will also be spending on two new onshore rigs, upgrades to the Weatherford fleet and additional maintenance costs.
“Our focus in 2019 will be on extracting synergies from the acquisitions and the integration of the Weatherford assets, tendering activity and maintaining excellent customer service and asset utilisation, said chief executive, Mohamed Farouk