OCU Group revenues soar, although takeover impacts profits
Stockport-based OCU Group, a player in the UK’s energy transition and utilities sector, has seen a record increase in revenues for the year to April 30, 2023, but suffered a significant drop in pre-tax profits.
The group experienced a 54% increase in annual turnover of £455m.
However, pre-tax profits have shrunk from £40.54m the previous year to £5.3m.
It said its profits are significantly lower as a result of non-cash amortisation of goodwill arising from Triton Partners’ £400m acquisition of OCU in July 2022, along with financing costs.
OCU’s adjusted operating profit for the year, which it says reflects underlying performance excluding the amortisation charge, was £51.6m, up 27% from £40.7m in 2022.
The majority of OCU’s revenue increase reflects organic growth across its Utilities and Energy businesses, with acquisitions made during the year also contributing.
David Taylor-Smith, OCU Group chairman, said: “This is our first full year under Triton’s ownership, we are delighted with our results and the progress we have made in executing our strategy.
“We are helping the UK to grow by building and maintaining critical utility networks and helping the country to deliver its net zero ambitions.”
He added: “As well as delivering strong financial and operational performance, we have expanded our geographical coverage and increased the breadth of our capabilities enabling us to further serve our clients.”
Michael Hughes, OCU Group CEO, said: “Our robust financial performance, and the investments OCU continues to make, demonstrate our resilient business plan and commitment to long term value creation for all of our stakeholders.
“Our results are testament to the commitment and dedication of all our OCU colleagues and underscore the inherent strengths of the OCU business model.”
He added: “This year has continued to show that safety is at the heart of everything we do as we build, upgrade and maintain important critical infrastructure in the energy, telecoms, water, and transport markets.
“Our values also ensure that we deliver our energy transition and utilities contracting in a sustainable way.
“Looking forward, OCU Group will continue to invest in expertise and capacity to support the continued needs of our clients and wider growth of the business, with our goal of continuing to lead the way in utilities and energy transition sectors.”
