Invest 200 million to get out of the oil crisis – pursuits

– in 2015 we must forget as soon as possible, says Ove Simonsen Randaberg Group.

-2014 was a fine year for us, says Ove Simonsen Randaberg Group to pursuits.

Randaberg company ended on a turnover of 302.5 million kroner. Profit before tax was 15.2 million. This year marked however oil downturn in earnest in the group.

Randaberg Group

• Established in 1946

 

• Barely 100 employees

 

• Headquartered in Randaberg outside Stavanger

 

– in 2015 we have just forgotten as quickly as possible. We are in the same situation as many other businesses related to the oil industry, says Simonsen.

Barber prices

The downturn has resulted in cost-cutting, layoffs and dismissals. 30 employees have lost their jobs, bringing the total number of employees are currently just under 100.

grips taken, the figures for 2015 are still unravel. Probably end both sales and profit roughly on par with last year.

New contracts have also started to tick in. But it costs to stay competitive.

– We have gone so far down in price that we begin to make new appointments. For certain contracts, we go as far as zero. We have been forced to accept that the situation is as it is. The most important thing for me is to facilitate a safe workplace for employees to come, says Simonsen.

Rekord Investing

The CEO has realized that he must think anew to meet the difficult times . Therefore, it set in motion a process to add the company’s profile.

The next few years are going to focus in order to become a complete supplier of services to the oil industry. It comes as a result of the new building market has shrunk considerably.

– I think that the future will be greater awareness that taking care of existing equipment. Therefore, we will concentrate more on maintenance, says Simonsen.

It also means large investments for Randaberg Group. Among other buildings and production facilities. Total will invest about 200 million.

– We have never invested so much, says the CEO.

– Grew too fast

Randaberg Group was established that Randaberg Auto in 1946. Since there have been several name changes, and different companies have been consolidated under the umbrella. Ove Simonsen is the second generation owner and driver of the company.

In recent years, the group has seen strong growth. In 2010 turnover was 136 million, in 2011 194 million in the peak year 2012 the entire 364 million. The last two years it has ended just over 300 million.

– We grew too fast, so eventually I chose to tread a little on the brake. We will control what we are doing, says Simonsen.

Now he prefers to come.

– Many are concerned about the times we are in, but no profit from it . We must prepare ourselves for what is coming.

Therefore, he chooses to implement a record investment. According to plan, it will provide new growth.

– I think we need to hire more when we get the new structure up about two or three years. Probably we will then be able to be 130 to 150 employees, says Simonsen.

Randaberg Group – 2014

Figures in millions	2014	2013
Earnings	302.5	305.3
Earnings	17.5	5.0
Profit before tax	15.2	5.2