Head Energy – Preliminary 2025 Results: Revenue Growth, Improved Margins and Key Contract Awards

Revenue

Revenue growth in 2025 was lower than the historical growth rate yet exceeded budgeted revenue growth following a strong first half of the year. Growth moderated in the second half of 2025, primarily due to delayed awards of several key contracts, which directly and indirectly impacted Head Energy’s two largest business units.

Margins

Preliminary 2025 figures indicate an EBITDA margin of 4.5%, up from 4.1% in 2024. The margin improvement reflects enhanced profitability and increased activity levels across several business units, particularly within Subsea Technology and Head Energy’s Danish Renewable Energy operations.

In addition, the consulting divisions in Norway and Sweden delivered improved earnings, as did most units within the Civil Construction segment. However, a few new initiatives did not develop as expected and were restructured towards the end of 2025.

Adjusted for one-off costs related to losses and restructuring, the EBITDA margin for 2025 would have been approximately 5.2%. During 2025, Head Energy also implemented new accounting and payroll systems and increased its focus on artificial intelligence, positioning the Group for future development.

Contracts

Head Energy is highly satisfied with being awarded a long-term framework agreement with Equinor for maintenance and minor projects on the Troll, Gullfaks and Oseberg installations. The award comes as the result of focused and long-term efforts by Head Energy. The agreement is expected to provide an increased orderbook and predictable volumes over an extended period (five years plus options of three and two years), and to contribute positively to margin development.

In 2025, Head Energy was also awarded a strategically important framework agreement with Svenska kraftnät for the delivery of technical consulting services. The agreement has a duration of up to eight years and is expected to further strengthen Head Energy’s position in Sweden.

The Norwegian consulting division has experienced increased activity at the start of 2026 following the clarification of several important contract awards.

Orderbook

The orderbook at year-end 2025 amounted to NOK 1,290 million, representing a reduction of approximately NOK 213 million compared to December 2024. This decline is primarily attributable to lower volumes in the Norwegian offshore-related consulting market.

The framework agreements with Equinor for maintenance and minor projects were announced on 6 January 2026. These agreements are expected to generate annual revenues of up to NOK 350 million and have a base duration of five years, with options for a further three plus two years.

Overall, the orderbook is expected to increase significantly in 2026, particularly within the Engineering segment. Continued growth is also expected within power engineering and infrastructure projects.
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Bergen, 9. February 2026
Torbjørn Kvalsund
Chief Financial Officer - Head Energy Group