DNV GL’s transition to a leaner organization is reflected in the newly released results for 2018. Revenue improved moderately to 19,639 million NOK and the profit (EBITA) margin inched up to 5.4%.
Remi Eriksen, Group President and CEO at DNV GL, said, “The past few years have been demanding, with particularly challenging market conditions in the maritime and energy markets. Our focus on reducing costs and improving productivity remained very much in place, while we prioritized investments in digital processes and services. As a result, we are now even better placed to add value by bringing our technical expertise efficiently to our customers in a decarbonizing and digitalizing market.”
Of DNV GL’s five business areas, Business Assurance, has been the main engine for growth in 2018, increasing its revenue with 11%. Much of the growth can be attributed to the cyclical updating of ISO management system certification standards. The Maritime business area had a relatively strong performance the two last quarters. Global seaborne trade ticked upwards and DNV GL was able to capture 24% of the newbuild ship and offshore classification market at a time when shipyard activity rose sharply. DNV GL thereby consolidates its position as the world’s leading classification society.
DNV GL’s own Industry Outlook shows confidence rebounded in the oil and gas sector, but with continued focus on costs. DNV GL is responding to customer demand for more efficient and digital solutions and has, for example, introduced remote surveys and technical support powered by machine learning. Advisory services in power and renewables also saw increased demand as part of the energy transition, while demand for high-power laboratory testing services deteriorated.
DNV GL is continuing to focus on decarbonization and digitalization as the pillars to its corporate strategy and 2018 saw a number of significant landmarks.
- Veracity, DNV GL’s data management platform, has 150 000 registered users, and more than 1.2 million service subscriptions. The platform is growing by 100 users a day.
- Modernization of ship and offshore classification accelerated with more than 100,000 electronic certificates issued to DNV GL-classed vessels and about 60,000 technical questions routed by machine learning systems directly to a DNV GL technical expert.
- New standards and guidelines released for cyber security and autonomous ships
- My Story™, a blockchain-backed solution that tells the verified story of products entire supply chain, was launched. The first use case allows consumers to scan a QR code on wine bottles from three Italian wine makers to learn production and sustainability information about that particular bottle of wine. Several other digital assurance solutions are being piloted.