Shannon-based engineering services firm Mincon sees 6% revenue increase

Mincon is eyeing offshore wind farm projects as a new revenue stream. File picture

Shannon-based engineering services group Mincon has reported a 6% year-on-year rise in revenue for the first nine months of this year, sending its share price up nearly 2%.

The company makes drilling equipment, traditionally for companies in the exploration, mining and construction sectors. 

However, earlier this year, it said it was spreading its net to include providing services for offshore wind farm operators, having received a grant from the Government’s disruptive technologies innovation fund to help finance its development of a robotic seabed drilling system.

Back in August, Mincon reported a 4% year-on-year rise in pre-tax profits for the first six months of the year to €8m, with first half revenues rising by the same amount to €67m.

In its latest trading update, the company said it sustained that first half sales growth into the third quarter, with order levels increasing strongly.

However, it said it would be passing on increased costs, having continued to see higher freight and raw material prices. 

Mincon also said it continued to experience raw material delivery delays to its factories, leading to delayed delivery of manufactured products from its factories to its customers.

It said the commissioning of new equipment from an investment round in its factories, made in order to improve efficiency – and which included the purchase of a distribution company in Canada in July – would begin in the current quarter and the first quarter of next year.