Half Year 2026 Aqualis ASA Earnings Call

August 20, 2026

Hege Marie Norheim: My name is Hege Marie Norheim. I am the CEO of Aqualis, and I will be presenting the Q2 results for Aqualis together with the CFO, Stuart Jackson. Let me start by drawing attention to the disclaimer, which I will leave for you to read at your own leisure, and then proceed to establishing some highlights of the second quarter of 2026. As you can see, our revenues are up compared to last quarter, although still lower than a year ago. Our adjusted EBIT has significantly grown compared to both last quarter and last year, with a margin of 5.8%. As Stuart will go through in a moment, this is mainly due to improved profitability in ABL segment and our engineering brand, Longitude. The profits were also positively impacted by a non-cash item of $0.7 million.

Hege Marie Norheim: My name is Hege Marie Norheim. I am the CEO of Aqualis, and I will be presenting the Q2 results for Aqualis together with the CFO, Stuart Jackson. Let me start by drawing attention to the disclaimer, which I will leave for you to read at your own leisure, and then proceed to establishing some highlights of the Q2 of 2026. As you can see, our revenues are up compared to last quarter, although still lower than a year ago. Our adjusted EBIT has significantly grown compared to both last quarter and last year, with a margin of 5.8%. As Stuart will go through in a moment, this is mainly due to improved profitability in ABL segment and our engineering brand, Longitude. The profits were also positively impacted by a non-cash item of $0.7 million.

Speaker #1: My name is Hegemony Norheim. I'm the CEO of Aqualis, and I will be presenting the Q2 results for Aqualis together with the CFO, Stuart Jackson.

Speaker #1: Let me start by drawing your attention to the disclaimer, which I will leave for you to read at your own leisure. I will then proceed to establish some highlights of this second quarter of 2026.

Speaker #1: As you can see, our revenues are up compared to last quarter, although still lower than a year ago. Our adjusted EBIT has significantly grown compared to both last quarter and last year, with a margin of 5.8%.

Speaker #1: And as Stuart will go through in a moment, this is mainly due to improved profitability in the ABL segment and our engineering brand, Longitude. The profits were also positively impacted by a non-cash item of $0.7 million.

Speaker #1: As mentioned in last quarter's presentation, ongoing cost reductions and investments in efficiencies were expected to show improved profitability in this quarter, as well as going forward.

Hege Marie Norheim: As mentioned in last quarter's presentation, ongoing cost reductions and investments in efficiencies was expected to show improved profitability in this quarter as well as going forward. Our guiding towards a 20% return on capital employed in 2027 remains our target. This quarter results is a step towards this with a ROCE, or a return on capital employed, for the quarter of 15.6% compared to the ROCE for all of last year, on average, at 10.2%. The quarter saw an increase in working capital due to a large part of the growth in revenue manifesting towards the end of the quarter and remains to be collected. Cash flow was further impacted by the dividend paid this quarter of $6.3 million. Since our presentation in Q1 results, we have also had a successful renaming of the parent company from ABL Group to Aqualis.

Speaker #1: Our guiding towards a 20% return on capital employed in 2027 remains our target, and this quarter's results are a step toward this, with a ROCE—or return on capital employed—for the quarter of 15.6%, compared to the ROCE for all of last year, on average, at 10.2%.

Speaker #1: The quarter saw an increase in working capital due to a large part of the growth in revenue manifesting toward the end of the quarter, which remains to be collected.

Speaker #1: Cash flow was further impacted by the dividend paid this quarter of 6.3 million US dollars. And since our presentation in Q1 results, we have also had a successful renaming of the parent company, from ABL Group to Aqualis.

Speaker #1: Let me start with a quick reminder of who we are and where we operate. We are a technical global consultancy in energy and oceans, with just under 2,000 employees across 79 offices in 44 countries.

Hege Marie Norheim: Let me start with a quick reminder of who we are and where we operate. We are a technical global consultancy in energy and oceans with under 2,000 employees across 79 offices in 44 countries. We have been through rapid growth, as you can see on this slide, partly due to acquisitions, and we are now 10 times larger than we were in 2018. We operate in three markets, oil and gas, renewables, and maritime, of which the first one is by far the largest. We do so through four brands, ABL, AGR, OWC, and Longitude, where ABL is by far the largest segment in terms of EBIT contribution. Worth noting on employees is that last year in Q2, we were about 9.3% more own employees compared to now. We also like to remind you what the brands actually do and the differences between them.

Speaker #1: We have been through rapid growth, as you can see on this slide, partly due to acquisitions, and we are now ten times larger than we were in 2018.

Speaker #1: We operate in three markets: oil and gas, renewables, and maritime, of which the first one is by far the largest. We do so through four brands: ABL, AGR, OWC, and Longitude, where ABL is by far the largest segment in terms of EBIT contribution.

Speaker #1: Worth noting on employees is that last year, in Q2, we had about 9.3% more own employees compared to now. We would also like to remind you what the brands actually do, and the differences between them.

Speaker #1: ABL is our leading marine consultancy and a global leader in loss prevention and loss management. AGR is our specialist in drilling, wells, and subsurface. OWC is our renewables specialist and environmental consultant.

Hege Marie Norheim: ABL is our leading marine consultancy and a global leader in loss prevention and loss management. AGR are specialists in drilling, wells, and subsurface. OWC is our renewable specialists and environmental consultants. Finally, Longitude, who delivers first-party design and engineering services. To make it come a bit more alive, we also like to give you an example or showcase some selected projects, one we executed during this second quarter. Let me start by an example from ABL, who were successfully involved in Mero 1 and Mero 2 in Brazil developments, securing a significant warranty contract with Subsea 7 as a client, reinforcing a strong position in Brazil's deepwater offshore market. AGR example, very proud of supporting Aker BP's record-breaking drilling campaign in the Yggdrasil area with our well and subsurface team on board the rig Deepsea Stavanger.

Speaker #1: And finally, Longitude, who delivers first-party design and engineering services. To make it come a bit more alive, we also like to give you an example, or showcase some selected projects Longitude executed during this quarter, the second quarter.

Speaker #1: Let me start with an example from ABL, who were successfully involved in the Merrow One and Two developments in Brazil, securing a significant warranty contract with Subsea 7 as a client and reinforcing a strong position in Brazil's deepwater offshore market.

Speaker #1: AGR example, very proud of being a supporting RKB piece—a record-breaking drilling campaign in the IGDRASIL area, with our well and subsurface team on board the rig Deep Sea Stavanger.

Speaker #1: An example from OWC: We provided independent technical due diligence to support Statverket München's investment in the Gennaker offshore wind farm, which will become Germany's largest offshore wind farm in the Baltic Sea.

Hege Marie Norheim: An example from OWC, provided independent technical due diligence to support Stadtwerke München's investment in Gennaker offshore wind farm, which will become Germany's largest offshore wind farm in the Baltic Sea. Finally, an example from Longitude, who in this quarter launched its AI-enabled real-time mooring line monitoring and predictive integrity management for floating offshore assets. This highlights the group's continued investments in digital projects and technology-driven growth opportunities. Before I leave the floor to Stuart to take us through the details of the quarterly results, I want to mention our acquisition of Synergen 1st of July, which was closed 1st of July, completed, and will be consolidated in our reporting in Q3.

Speaker #1: And finally, an example from Longitude, who in this quarter launched its AI-enabled, real-time mooring line monitoring and predictive integrity management for floating offshore assets. This highlights the group's continued investments in digital projects and technology-driven growth opportunities.

Speaker #1: And before I leave the floor to Stuart to take us through the details of the quarterly results, I want to mention our acquisition of Synergen, which was completed and closed on the 1st of July, and will be consolidated in our reporting in Q3.

Speaker #1: This is a transaction we are very pleased with, and after several years as a subcontractor, Synergen complements our offerings in Longitude very well, and will now be scaled into a global footprint in addition to its strong foothold in Southeast Asia.

Hege Marie Norheim: This is a transaction we are very pleased with. After several years as a subcontractor, Synergen complements our offerings in Longitude very well and will now be scaled into a global footprint in addition to its strong foothold in the Southeast Asia. As well as added to our offerings in other brands where we see opportunities. So looking forward to working with 45 new colleagues, improving the offerings to our clients on process safety and risk management. Over to you, Stuart.

Speaker #1: As well as added to our offerings in other brands, where we see opportunities as well. So, looking forward to working with 45 new colleagues, improving the offerings to our clients on process safety and risk management.

Speaker #1: Over to you, Stuart.

Speaker #2: Thank you. Here I go. Starting then to the financials and, as Hege has mentioned, a strong quarter for us. As we went through Q2, from a revenue perspective, we saw a 10% increase in revenue—up to 90.8 million compared to 82.4 million in Q1—all of which is organic growth across the businesses.

Stuart Jackson: Thank you, Hege. Turning to the financials, as Hege has mentioned, a strong quarter for us as we went through Q2. From a revenue perspective, a 10% increase in revenue up to 90.8 million compared to 82.4 million in Q1, all of which is organic growth across the businesses. From an EBIT perspective, pleasing to see an increase in EBIT contribution from all four of the segments over this quarter. I will go through each one individually as I go through the remainder of the presentation. I think what you are seeing here is firstly, the focus on growth that has been put into the business in the last three or four quarters, and also the more cost-conscious measurement of our cost base as we have looked at our technical costs and our support costs relative to the markets that we are operating in.

Speaker #2: And then, from an EBIT perspective, it's pleasing to see an increase in EBIT contribution from all four of the segments over this quarter. I'll go through each one individually as I go through the remainder of the presentation.

Speaker #2: But I think what you're seeing here is, firstly, the focus on growth that's been put into the business in the last three or four quarters, and also the more cost-conscious measurement of our cost base as we've looked at our technical costs and our support costs relative to the markets that we're operating in.

Speaker #2: So, solid performance. The one red you see there on the cost side is in relation to the corporate costs. You'll recall in Q1 that we had a $1.1 million release of a long-standing provision.

Stuart Jackson: So solid performance, the one red you see there on the cost side, is in relation to the corporate costs. You will recall in Q1 that we had a 1.1 million release of a longstanding provision, in that quarter. We had a similar release of 0.7 million in this quarter, so 0.4 million lower. So taking out the one-offs in that respect is broadly in line with where we were at Q1. Turning to the individual segments. ABL first, which is obviously the engine of the group in terms of both profitability and cash generation. So very pleasing to see a significant increase in the revenue levels within this area. So up 9% compared to the last quarter and up 6% compared to the same quarter a year ago. Obviously pleasing to see also increase in profitability in this business.

Speaker #2: In that quarter, we had a similar release of 0.7 million; in this quarter, it's 0.4 million lower. So, taking out the one-offs in that respect, it has brought us in line with where we were at Q1.

Speaker #2: Turning then to the individual segments—ABL first, which is obviously the engine of the group in terms of both profitability and cash generation. So, very pleasing to see a significant increase in the revenue levels within this area.

Speaker #2: So, up 9% compared to the last quarter, and up 6% compared to the same quarter a year ago. And obviously, it's pleasing to see an increase in profitability in this business, up to a 19% margin at an EBIT level, generating $7.7 million during the quarter.

Stuart Jackson: So up to 19% margin at an EBIT level, generating USD 7.7 million during the quarter. The real drivers in terms of that performance has come out of Europe, which has had another strong quarter and also very pleasing, the Middle East, which despite the conflicts that are going there, is doing very well in terms of its acquisition of new business and delivery for our customers. In terms of the AGR business, again, a growth in terms of our revenue level up 12%. A large part of that is driven by the wells activity we have in Australia, where we are capturing more work, but also executing on a profitable basis there.

Speaker #2: The real drivers in terms of that performance have come out of Europe, which has had another strong quarter. And also, very pleasing, the Middle East—which, despite the conflicts going on there—is doing very well in terms of its acquisition of new business and delivery for our customers.

Speaker #2: In terms of the AGR business, again, we saw growth in our revenue level, up 12%. A large part of that is driven by the wells activity we have in Australia, where we're capturing more work but also executing on a profitable basis there.

Speaker #2: From an EBIT perspective, we're brought in line with where we were this time last quarter. At a margin level, we're slightly up in terms of overall EBIT as a consequence of the increase that we have in our revenue levels.

Stuart Jackson: From an EBIT perspective, we are broadly in line with where we were this time last quarter at a margin level, slightly up in terms of overall EBIT as a consequence of the increase that we have in our revenue levels. This business, as you will recall, is very much a business that has a large element of pass-through costs, be those either vessel revenues or resourcing activities. So on a like-to-like basis with ABL, this is probably performing around about 17% compared to the 19% that we have within the ABL business. The important thing to note with AGR is this business really runs on a negative or a neutral networking capital basis. So in terms of return on capital employed, it is a very strong performer. On to OWC, which I guess as you recall, has been a bit of a problem child over the last few quarters.

Speaker #2: This business, as you'll recall, very much has a large element of pass-through costs, be those either vessel revenues or resourcing activities. It's one I like to liken on a like-for-like basis with ABL.

Speaker #2: This is probably performing at around 17%, compared to the 19% that we have within the ABL business. The important thing to note with AGR is this business really runs on a negative or a neutral net working capital basis.

Speaker #2: So, in terms of return on capital employed, it's a very strong performer. On to OWC, which, as you recall, has been a bit of a problem child over the last few quarters.

Speaker #2: The market hasn't really changed, so our revenue is broadly flat compared to where we've been in the last few quarters. What you do see is an improvement in terms of EBIT, so that's reflecting the cost measures which were taken over the last three quarters or so.

Stuart Jackson: The market hasn't really changed, so our revenue is broadly flat compared to where we have been in the last few quarters. What you do see is an improvement in terms of the EBIT. So that is reflecting the cost measures which were taken over the last three quarters or so. So returning to profitability and a slight increase from where we were in Q1. Then turning lastly to Longitude, which has had a good quarter. Revenue levels up with strong utilization of our people, and that is reflected directly in terms of the improvement in EBIT margins that we have. So jumping back up to 19%. You will recall from previous presentations we have done that this is a relatively lumpy business. It is very much dependent on where we are on commencement and completion of projects. But very solid performance from the Longitude business going through Q2.

Speaker #2: So, returning to profitability and a slight increase from where we were in Q1. And then, turning lastly to Longitude, which has had a good quarter.

Speaker #2: Revenue levels are up, with strong utilization of our people. And that's reflected directly in the improvement in EBIT margins that we have, now jumping back up to 19%.

Speaker #2: You'll recall from previous presentations we've done that this is a relatively lumpy business. It's very much dependent on where we are with the commencement and completion of projects.

Speaker #2: But very solid performance from the Longitude business going through Q2. And as Hege mentioned, we completed the acquisition of Synergen during the quarter, and that will be consolidated in the results.

Stuart Jackson: As Hege mentioned, we completed the acquisition of Synergen during the quarter, and that will be consolidated in results from Q3 going forwards. So coming then to the abbreviated financial statements, just to pull out a few highlights here. The increase in EBIT from USD 1.6 to USD 4.4 million. So reflecting I guess the benefits we have seen of all segments improving, revenues being up 10% and costs being up 7%. In terms of other items, FX, so the weakening US dollar, so we have a net loss in terms of FX impacts, but this is the revaluation of instruments denominated in non-functional currencies, including our intercompany positions. In terms of that USD 4.4 million EBIT, there are some adjustments, taking us to USD 5.3. These are primarily the standard adjustments we have in terms of integration costs, M&A, and the amortization of intangible assets.

Speaker #2: From Q3 going forwards. So, coming then to the abbreviated financial statements, just to pull out a few highlights here: the increase in EBIT from 1.6 to 4.4 million.

Speaker #2: So, reflecting, I guess the benefits we've seen are all segments improving. Revenues are up 10% and costs are up 7%. In terms of other items—FX, the weakening US dollar.

Speaker #2: So, we have a net loss in terms of FX impacts, but this is the revaluation of instruments denominated in non-functional currencies, including our intercompany positions.

Speaker #2: In terms of that €4.4 million EBIT, there are some adjustments taking us to €5.3 million. These are primarily the standard adjustments we have in terms of integration costs, M&A, and the amortization of intangible assets.

Speaker #2: So, at the end of the quarter, we had EBIT of $5.3 million, compared to $3.1 million in the previous quarter, an increase from 3.7% to 5.8%.

Stuart Jackson: At the end of the quarter, we had USD 5.3 million of EBIT compared to USD 3.1 million in the previous quarter, an increase from 3.7% to 5.8%. You will recall our guidance through the cycle is about 6.5%, so we are well on the way to getting back to that level. From a cash flow perspective, I guess the main element is the still build-up of working capital we have with increasing revenues. As Hege mentioned during the Q2, we had an increase in revenues in the back end of the quarter. These are working capital balances we expect to start to unwind as we get into Q3, and we bill customers and collect from customers during that period. So no real contribution to cash from operating activities. In terms of our investing and financing activities, not much on the investing side.

Speaker #2: And you'll recall our guidance through the cycle is about 6.5%, so we're well on the way to getting back to that level. From a cash flow perspective, I guess the main element is the still build-up of working capital we have with increasing revenues.

Speaker #2: As Hege mentioned during the second quarter, we had an increase in revenues in the back end of the quarter. So these are working capital balances we expect to start to unwind as we get into Q3.

Speaker #2: And we bill customers and collect from customers during that period, so there is no real contribution to cash from operating activities. In terms of our investing and financing activities, there is not much on the investing side.

Speaker #2: If you look at positives and negatives on the financing side, the payment of the dividend during the quarter for the first half of the year was NOK 6.3 million.

Stuart Jackson: A few positives and negatives on the financing side. The payment of the dividends during the quarter for the H1, that is USD 6.3 million. On the other side of it, we drew down USD 5 million under the RCF, to fund the working capital position. Obviously we have had interest payments and lease payments during the quarter. That leaves us with a reduction of cash flow of USD 3.1 million, and after revaluation, taking cash from USD 12.1 million down to USD 8.7 million at the end of the quarter. Then finally, from a balance sheet perspective, the USD 8.7 million is offset by USD 29.1 million in terms of our short-term borrowings position. So we have net debt at the end of the period of USD 20.4 million.

Speaker #2: On the other side of it, we drew down $5 million under the RCF to fund the working capital position. And, obviously, we've had interest payments and lease payments during the quarter.

Speaker #2: That leaves us with a reduction of cash flow of $3.1 million. And after revaluation, this takes cash from $12.1 million down to $8.7 million at the end of the quarter.

Speaker #2: And then finally, from a balance sheet perspective, the 8.7 million is offset by 29.1 million in terms of our short-term borrowings position. So we have net debt at the end of the period of 20.4 million.

Speaker #2: And you'll recall that we came from a significant net cash position, probably three years ago. Over that time, we've progressively been using our cash for funding M&A instead of using shares.

Stuart Jackson: You recall that we came from a significant net cash position probably three years ago, and over that time, we have progressively been using our cash for funding of M&A instead of using shares and for funding the dividends that we pay back to shareholders. So I think we have got a more appropriate capital structure for this type of business at present. In terms of working capital ratio, so we stay around about the level we were in Q1 with the buildup we had in Q2 this year, and that is where I expect this to start unwinding as we get into Q3. Then finally, from a debt perspective and capacity, we have USD 29 million drawn under the RCF of USD 40 million that is committed to us, so USD 11 million of remaining commitments.

Speaker #2: And for funding the dividends that we pay back to shareholders. So I think we've got a more appropriate capital structure for this type of business at present.

Speaker #2: In terms of the working capital ratio, we stayed at about the same level as we were in Q1, with the build-up we had in Q2 of this year.

Speaker #2: And that's where I expect this to start unwinding as we get into Q3. And then finally, from a debt perspective and capacity, we have $29 million drawn under the RCF and $40 million that's committed to us.

Speaker #2: So, $11 million of remaining commitments. And we have a further $20 million of accordions, which are already documented but uncommitted at this stage. And those all have a maturity of January 2029.

Stuart Jackson: We have a further USD 20 million of accordions, which are already documented but uncommitted at this stage. Those all have a maturity of January 2029. With that, I will pass back to Hege to take us through the market outlook.

Speaker #2: And with that, I'll pass back to Hege to take us through the market outlook.

Speaker #1: Thank you, Stuart. So, on the outlook, let me just reiterate that we will continue our efforts to increase efficiency and productivity in the quarters and years to come, within a number of focus areas.

Hege Marie Norheim: Thank you, Stuart. So on the outlook, let me just reiterate that we will be continuing our efforts to increase efficiency and productivity in the quarters to come, years to come, within a number of focus areas. As to markets, the market situation, as I have already mentioned, oil and gas is by far our biggest market. 75% of our revenues across a number of our brands comes from this market. We do expect significant regional differences for both CapEx and OpEx driven services in oil and gas. As is easy to see, the overall impact on Aqualis will be quite neutral because we are very diversified throughout the globe and throughout a number of service lines into this market. We do expect oil and gas investments to remain pretty flat through 2026.

Speaker #1: As to markets, the market situation, as I’ve already mentioned, oil and gas is by far our biggest market. Seventy-five percent of our revenues across a number of our brands comes from this market.

Speaker #1: And we do expect significant regional differences for both CAPEX- and OPEX-driven services in oil and gas. But as is easy to see, the overall impact on Equalis will be quite neutral, because we are very diversified throughout the globe and across a number of service lines.

Speaker #1: Into this market, we do expect oil and gas investments to remain pretty flat through 2026, although we see a very busy market in Brazil, the Middle East, Sub-Saharan Africa, and parts of Asia as well.

Hege Marie Norheim: Although we see a very busy market in Brazil, Middle East, sub-Sahara Africa and parts of Asia as well. We have a positive outlook into 2027, recognizing that a number of regions, not the least due to the conflict in the Middle East, are more and more focused on energy security as a national security issue and diversification is on everybody's agenda. As for the renewables market, we are particularly working in the offshore wind segment, and this is also relevant for a number of our brands. ABL also works in this segment in addition to OWC and Longitude Engineering. We see the increased focus on energy security and independence does drive also the interest in investments in renewables, especially in Asia.

Speaker #1: And we have a positive outlook into 2027, recognizing that a number of regions due to the conflict, not the least due to the conflict in the Middle East, are more and more focused on energy security as a national security issue and diversification is on everybody's agenda.

Speaker #1: As for the renewables market, we are particularly working in the offshore wind segment. This is also relevant for a number of our brands: ABL also works in this segment, in addition to OWC.

Speaker #1: And Longitude, we see an increased focus on energy security and independence. This does drive the interest in investments in renewables, especially in Asia.

Speaker #1: We do, however, also see that the conflict and insecurity is delaying ongoing reductions in financing and commodity costs in this sector, putting pressure on project return on investment.

Hege Marie Norheim: We do, however, also see that the conflict and insecurity is delaying ongoing reductions in financing and commodity costs in this sector, putting pressure on project return on investment. We see that large bankable markets and developers are pushing through while the smaller are still struggling. The graph shown on this slide, which is the same as last quarter with no update from the source, underlines the continuous volatility and uncertainty in new investments in offshore wind. Our revenue from renewables is still pivoting as well into more of the OpEx phase of offshore wind, as well as transaction related and operational technical advisory in offshore wind. Good. Then the maritime market. Robust demand. The maritime market renders around 10% of our revenues.

Speaker #1: We see that large, bankable markets and developers are pushing through, while the smaller are still struggling. And the graph shown on this slide—which is the same as last quarter, with no update from the source—underlines the continuous volatility and uncertainty in new investments in offshore wind.

Speaker #1: Our revenue from renewables is still pivoting as well into more of the OPEX phase of offshore wind, as well as transaction-related and operational technical advisory in offshore wind.

Speaker #1: Good. And then the maritime market. Robust demand. The maritime market renders around 10% of our revenues. And with the conflict in the Middle East, we have seen an uptick in the need for our help due to increased claims to insurance companies, as well as a shift to China and the Far East for vessel repairs, which also increases costs and claims.

Hege Marie Norheim: With the conflict in the Middle East, we have seen an uptick in the need for our help due to increased claims to insurance companies, as well as the shift to China and the Far East for vessel repairs, which also increases costs and claims. This is also a stable market for our engineering brand, Longitude Engineering, within ship design. To summarize, increased revenues and group profitability in this quarter compared to last quarter. ABL segment with strong performance despite continued uncertainty. AGR, relatively stable performance. OWC trending up, continuing to adapt cost base to market conditions. Longitude Engineering delivering the highest revenue and EBIT since Q1 last year. Our outlook is positive through 2026 and into 2027 overall. It is volatile, and inflation and elevated financing costs are partly delaying client decisions in new investments.

Speaker #1: And this is also a stable market for our engineering brand, Longitude, within ship design. So, to summarize: increased revenues and group profitability in this quarter, compared to last quarter.

Speaker #1: ABL segment with strong performance, despite continued uncertainty. AGR showed relatively stable performance. OWC is trending up, continuing to adapt its cost base to market conditions. And Longitude delivered the highest revenue and EBIT since Q1 last year.

Speaker #1: Our outlook is positive through 2026 and into 2027 overall. It is volatile, and inflation and elevated financing costs are partly delaying client decisions on new investments.

Speaker #1: But as I've mentioned, in the long term, we also see increased focus on energy security, diversification, and more investments in all markets. And the war risk insurance market and higher repair costs are certainly underpinning the activity level we see in the ABL maritime business.

Hege Marie Norheim: But as I've mentioned, this long term, we also see increased focus on energy security, diversification, and more investments in all markets. The war risk insurance market and higher repair costs is certainly underpinning the activity level we do see in ABL maritime business. We remain committed to further growth through M&A activity and consolidating the energy consultancy industry. As I also mentioned, we remain on the path to improving our performance through 2026 from our various cost and efficiency initiatives and targeting still a ROCE of 20% in 2027, up from 10.2 last year. On that note, I thank you for your attention.

Speaker #1: We remain committed to further growth through M&A activity and consolidating the energy consultancy industry. As I also mentioned, we remain on the path to improving our performance through 2026, from our various cost and efficiency initiatives, and are still targeting a ROC of 20% in 2027, up from 10.2% last year.

Speaker #1: And on that note, I thank you for your attention.

Speaker #2: So we have a question.

[Company Representative] (Aqualis): We have a question online. The question is: Cash flow has been negative for the H1 of 2026. Normally, cash flow is positive in this period. How worried should we be about this? I suppose this is for Stuart Jackson.

Speaker #3: Online. The question is: Cash flow has been negative for the first half of 2026. Normally, cash flow is positive in this period. How worried should we be about this?

Speaker #3: I suppose this is for Stuart.

Speaker #4: Well, I'm not worried about it because I guess it's the build-up of working capital on the back of increasing revenue. So I can see that unwinding as we go into Q3.

Stuart Jackson: I'm not worried about it because I guess it's the buildup of working capital on the back of increasing revenue. I can see that unwinding as we go into Q3, as we start to bill and then collect from those customers. That's the driver, really, with us taking down the RCF by another 5 million to make sure we've got that funded over that period. As I mentioned, in terms of the committed facilities, we have a number of facilities committed to us we could draw upon anyway.

Speaker #4: As we start to build and then collect from those customers, that's the driver really behind us taking down the RCF by another $5 billion, to make sure we've got that funded over that period.

Speaker #4: And as I mentioned, in terms of the committed facilities, we have a number of facilities committed to us that we could draw upon anyway.

Speaker #3: And I don't believe we have any questions in the room. And we have no further questions online.

[Company Representative] (Aqualis): I don't believe we have any questions in the room, and we have no further questions online.

Hege Marie Norheim: Thank you.

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