After challenging 2025, Fugro anticipates recovery in key markets

Fugro said its performance in 2025 was affected by the challenging nature of the offshore wind market and a temporary slowdown in oil and gas project start-ups during the latter part of the year. Looking at 2026, the company said the offshore wind market is showing early signs of recovery, though it will take some time to materialise. The company reported a loss of €21M (US$25M) in 2025 and consolidated revenues of €1.9Bn, which is €427M less than in 2024.

Commenting on the past year, the company’s chief executive Mark Heine said, “Uncertain markets and a shifting geopolitical landscape affected the overall business climate, prompting many clients to reassess the timing and scope of their projects. Notably, offshore wind slowed significantly across several countries, reducing demand for early-stage site characterisation work. We responded decisively, and after right-sizing our operations during recent quarters, we entered 2026 better-placed, leaner, more focused and more resilient.

“We are nearing the completion of our cost-reduction programme, delivering annualised savings of €120M, including a workforce reduction of 1,050 full-time equivalent posts, resulting in a more flexible cost base and have successfully recalibrated the business, replenishing the backlog with oil and gas and infrastructure projects. Capital expenditure will be reduced to €150M to €165M in 2026, a substantial reduction compared with €248M in 2025, without compromising upside potential from a recovery. We remain committed to taking further measures if needed to improve margins, cash flow and our balance sheet.”

Mr Heine said, “Looking ahead at 2026 and beyond, the offshore wind market in Europe in particular is showing early signs of recovery as governments and industry collaborate to revitalise the sector. Increasing awareness of the importance of energy security and affordability is driving faster investments in grids, interconnectors, nuclear power, and renewables,” said Mr Heine, highlighting recent milestones such as the UK’s successful Auction Round 7 and commitments from the North Sea Summit in Hamburg.

“While the near-term focus is on industry realignment it will take some time before site characterisation activity rebounds,” said Mr Heine. “Meanwhile, the complexity of the energy transition and rising global demand suggest that fossil fuels, especially gas, will remain significant for the foreseeable future, ensuring continued demand for Fugro’s services.”

Mr Heine said Fugro’s mid- to long-term fundamentals across its energy, infrastructure and water markets remain solid, with additional opportunities in areas such as maritime security and surveillance, and critical minerals. He said the company is committed to executing its ‘Towards Full Potential strategy,’ adapting to market conditions by focusing on programmes that speed up remote operations, increasing its fleet of uncrewed surface vessels and further digitising workflows.