GTT ends 2022 with solid results, growth expected in 2023

French LNG containment specialist GTT has finished the 2022 financial year with solid results, expecting market growth in the coming years.

It had consolidated revenues of €307.3 million and consolidated EBITDA of €161.1 million.

As pointed out in the report, it achieved a record level of orders, with 274 units for the core business and 70 units for the LNG as fuel business.

Philippe Berterottière, Chairman and CEO of GTT, commented: “With 162 orders for LNG carriers, two orders for large-capacity ethane carriers and one order for a floating storage and regasification unit (FSRU), GTT achieved exceptional commercial performance in 2022.”

“For LNG as fuel, GTT booked 42 orders in 2022, a new record for this business line. Although the high price of LNG in Europe hampered sales momentum in the fourth quarter of 2022, GTT remains convinced of the relevance of its solutions, which enable vessels to comply with new environmental standards, and therefore of the medium- and long-term potential of this business.”

He stated that revenues for 2022 are in line with the companies’ expectations with a limited decline of 2.4% compared to 2021, noting that the decline occurred “due to an unfavourable base effect, which is gradually disappearing as a result of order momentum.”

He said there was “a strong growth of 14.1% in revenues in Q4 2022 compared to Q4 2021,” noting that “EBITDA stood at €161 million in 2022, slightly higher than forecast due to good cost control.”

Last year, GTT also acquired numerous approvals in principle (AiP), notably in the field of liquid hydrogen transport and for the innovative three-tank LNG carrier concept.

Berterottière said: “With regard to innovation, GTT continues to deploy its R&D roadmap with the ambition of being a major technological player in the decarbonisation of maritime transportation, in particular by supporting its customers in their energy transition.”

“In 2022, we obtained numerous AiPs from classification societies to develop new technologies in a wide variety of areas, particularly for the design of a hydrogen carrier and an innovative design for a three-tank LNG carrier.”

In 2022, GTT also signed two new Technical Assistance and Licensing Agreements (TALA) with the Yangzijiang Shipbuilding and China Merchants Heavy Industries shipyards, for the construction of GTT membrane containment systems.

In addition, the company pursued its strategy of developing new digital solutions for ship owners and signed a number of contracts highlighting the increasing needs of ship owners in that area.

Its member Elogen received an €86 million subsidy from the French government for its ‘gigafactory’ project and the strengthening of its R&D division as part of the Hydrogen IPCEI and it also continued its development with the signature of two new flagship contracts for the design and manufacture of electrolysers.

In the report, GTT has also announced its targets for 2023.

Berterottière stated: “Regarding our outlook for the current year, taking into account the distribution over time of our order book, we estimate that consolidated revenues for 2023 should be in the range of €385 million to €430 million, consolidated EBITDA in the range of €190 million to €235 million, and we maintain our commitment to distribute a minimum of 80% of our net income for 2023.”

Since the beginning of 2023, GTT made different achievements, including receiving multiple orders for tank designs.

In January 2023, it also obtained an AiP for the use of an innovative digital solution for sloshing activity assessment in order to optimise the LNG membrane tank maintenance.