Cadeler Boasts Record High Order Backlog
On release of its interim financial report 2024 Cadeler reports that it has delivered results in line with expectations and achieved a record high order backlog.
The world’s largest operator in offshore wind installation, operation, and maintenance services also states that in addition to progress on the integration of the Eneti business has achieving synergies above expectations.
Cadeler has also added projects in Asia and the US – as well as Europe – to its order book.
The renewed O-class cranes were delivered on time and on budget. Cadeler has also secured additional financing and placed an order to build a third A-class vessel.
Cadeler has four jack-up offshore wind installation vessels in operation, a fifth vessel (the Wind Peak) is expected to commence operations in the second half of this year. The Wind Peak joined the fleet in August 2024 and is specifically designed to meet growing demand and the increasing size, scope and complexity of future wind farm projects with deck space of 5,600m2, a payload of over 17,600 tons and main crane capacity of above 2,500 tons at 53 meters.
The vessel has already been contracted by Siemens Gamesa for the transportation and installation of 100 14-megawatt wind turbines in the North Sea for the Sofia Project, owned by RWE, located 195km off the UK’s Northeast coast.
Six newbuilds are under construction. Therefore, Cadeler’s order book now stands at EUR 1.9 billion ($2.1 billion) (options included at 100%), an increase of over EUR 500 million compared to H1 2023.
With the completion of the main crane upgrades on Wind Orca and Wind Osprey and the ongoing renewal and expansion of its fleet, Cadeler says it is ready to meet the growing market demand.
Mikkel Gleerup, CEO of Cadeler, said: "In an industry accustomed to delays and budget constraints, Cadeler has consistently achieved what it has said it will achieve. The first half of 2024 saw key maintenance and crane upgrade projects completed on time and within budget, and with four vessels now fully operational and a fifth set to commence work, Cadeler is well-positioned for continued growth. The growing demand in our market is evidenced by our record-high order backlog. Securing additional financing, and placing the official order for our third A-Class vessel, are significant milestones of which I am very proud."
Cadeler’s guidance for both revenue and EBITDA remains unchanged for 2024: revenue is expected to range between EUR 225 million and EUR 245 million and EBITDA is expected to be in the range of EUR 105 million to EUR 125 million.
For the first half of 2024, the Group’s result is a profit of EUR 153 thousand, which is a decrease of EUR 29 million from the EUR 30 million profit earned in the comparative period in 2023. The result was principally driven by lower gross profit, with a decrease in vessel utilization as three out of the Group’s four operating vessels were undergoing scheduled drydock, crane upgrades and maintenance during the first quarter of 2024, and an increase in headcount and vessel depreciation.
The company states that, throughout 2024, the outlook for the offshore wind energy sector and Cadeler remain positive due to favorable macroeconomic trends and unprecedented policy momentum globally. Policies such as the EU Strategy on Offshore Renewable Energy and increased efforts by governments elsewhere will accelerate wind energy deployment to meet climate goals. Especially Europe will remain the driver of offshore wind, and is anticipated to experience substantial growth, while new regions are also poised for market expansion. Despite the ongoing volatility in inflation and interest costs, the 2024 outlook for Cadeler is anticipated to remain unaffected, highlighting the company's resilience.