Sheffield Green SGR has announced earnings of US$3.5 million ($4.6 million) for the FY2023 ended June 30, reversing its loss of US$0.2 million for FY2022.
The human resource services provider for the renewable energy industry closed its initial public offering (IPO) for 3.6 million shares at 25 cents apiece on Oct 26.
For the full-year period ended June 30, the company’s revenue increased by 255.4% y-o-y to US$27.6 million, driven by the strong growth in its human resource services business segment, which increased by 284.9% compared to the previous year.
This growth was attributed to securing more contracts and increased personnel supplied in the offshore wind industry.
With increased projects secured and personnel provided, Sheffield Green’s gross profit increased over five-fold from US$1.2 million in FY2022 to US$7.7 million in FY2023. Gross margins expanded from 15.8% to 28.0% during the same period.
Meanwhile, the company says its efforts to manage working capital have yielded positive results, as operating cash flows turned positive, amounting to US$2.1 million in FY2023, compared to negative US$0.6 million in FY2022.
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The company has recommended a final dividend of 1 cent per share for FY2023.
CEO Bryan Kee says: “Our success in FY2023 is a direct result of the team's relentless commitment, adaptability, and innovative strategies in the renewable energy sector. Despite the challenging economic environment, we have not only managed to achieve significant growth but also enhanced our operational efficiencies and strengthened our market position.”
“This success is a testament to our dedicated team and the solid partnerships we have fostered. We are excited to continue this momentum and further our mission of powering sustainable energy solutions,” he adds.
Looking ahead, Sheffield Green believes projects in the offshore wind sector, which accounts for most of its business and is forecasted to expand from US$33.0 billion in 2022 to US$179.4 billion in 2032, are poised for significant growth.
The company says it aims to capitalise on “robust sector trends” by offering end-to-end human resource solutions, including training and equipping personnel with the necessary equipment for on-site work and sourcing for various roles ranging from C-suite to technical and offshore crew positions.
Ancillary services, which encompass the meticulous handling of visa and work permit applications, will also be provided to ensure the seamless mobilisation of personnel for international projects.
In addition, Sheffield Green is also looking at strategic expansion into other international markets by opening local offices to boost its regional operations. The company recently opened its Poland office in November 2023 and plans to start a US regional office in Boston.
Following the successful operation of its Taiwanese training centres, it also plans to open more training centres in other markets, such as Japan and Poland, to capitalise on the rising global demand for renewable energy personnel.
Shares in Sheffield Green closed 1.5 cents higher or 7.5% up at 21.5 cents on Dec 14.
