Oil services specialist RBG of Aberdeen posted a 37% surge in turnover last year, but a number of exceptional costs saw pre-tax profits drop slightly.
Created at the end of 2004 through the £52m merger of three businesses, RBG supplies services to support all aspects of offshore oil and gas exploration. New contract wins in each of the company's market segments led to steady growth across all operations, taking turnover to £226.6m last year, up from £165.2m.
As a result, operating profits before exceptional items rose nearly 20% to £13.1m. However, exceptional costs of £2.6m pegged pre-tax profits back to £7.2m, compared to £8.1m previously.
Stephen Bentley, finance director at RBG, said a financial restructuring at the end of 2006 accounted for the largest proportion of the exceptional costs. This involved refinancing the company's debt within a new six-year, £80m facility.
There were also costs associated with an aborted acquisition, as well as expenses incurred from overseas social security liabilities.
Despite the effect on the bottom line, Bentley said the company was pleased with its progress.
"We are more focused upon the profit before exceptionals, as we believe that is a truer reflection of performance," he said. "The business has been doing very well, and as (chief executive Doug Sedge) said, we are extremely pleased with our growth of 37%."
The addition of Core Technical Services, which was purchased for an undisclosed sum in October 2005, gave RBG an additional £20m in sales in its first full year under new ownership. Although work in overseas markets accounts for just a quarter of RBG's turnover, this sector grew at a faster pace than its UK business.
"Our long-term aim is to dilute the UK contribution by growing our overseas business," Bentley said.
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