Investor Relations
2023 saw General Oceans settling into a more formal structure as we increased our revenue by 28% when compared to 2022. In December, we received investments from Ferd, a Norwegian family office with impeccable credentials which now owns 26% of General Oceans. We also improved the composition of our Board, and positioned our six person headquarters in London as a real resource for the operating companies. In August 2023, we purchased Klein Marine Systems outright so we now have five core operating companies and nine subsidiaries, each with a focus on sales and distribution, and we employ 340 employees across nine countries.
Financially, 2023 was a transition year, where we had to focus on resetting the core business at SRS (ROVs) after the founders left, getting a better understanding of Reach Robotics (manipulators), and helping Klein (side scan) escape from a state of underfunding. On the positive side, Nortek – our largest operating company – benefitted from a positive FX development and produced all-time- high results, both in revenue and earnings. Tritech also provided a positive contribution with organic growth of 18% relative to FY2022. In total, the Group revenue was NOK 809m (630m in 2022), the Group EBITDA was NOK 127m (146m in 2022), and the Group normalised GAAP EBIT was 78m (115m in 2022).
As we move into 2024, we see Nortek and Tritech continue their upward trajectory, and believe our turn-around work at SRS is starting to generate positive results. We expect positive effects from a reset at Reach Robotics following the founders' exit in January 2024, and installation of new management. And we see Klein negotiating large contracts with significant customers. Our expectations for 2024 are positive, and we believe the Group will continue to strengthen throughout the year, both as individual operating companies and as a collaborative entity.
Our three market areas were strong in 2023, and we expect this will continue for at least another two years. In marine construction, wind farm developments have generated broad demand across all technology sectors while we still see a lot of refurbishment and life extensions taking place in oil and gas. In science, we see strong activity and broader geographic participation, even as there may be a small shift from the physics of the ocean to the biology of the oceans. The defence sector is refocusing toward increased autonomy and flexible procurement procedures based on lessons learned in Ukraine, and from the anticipated asymmetry in any upcoming conflicts. Of these segments, General Oceans is currently best positioned to grow in marine construction.
The IPO market is still quiet and the investment from Ferd strengthened our balance sheet in a positive way. The implication is that we can continue to look for M&A opportunities, and we are doing so within multiple segments of the ocean technology sector. For 2024, we are focusing on the following areas.
Continue organic growth. Organic growth comes from quality and quantity in sales and marketing, intelligent product road maps, and excellence in operations. Throughout the last 18 months we have continuously taken advantage of Nortek's global sales organization to expand the reach of the other operating companies. For 2024, we will continue this work as we introduce General Oceans' initiatives including common tradeshow exhibits, new branding, new websites, aligned CRM, and the expansion of our talent development practices. New for 2024 is a stronger focus on product roadmaps, which includes technology collaboration, centralised market research, and optimisation of engineering resources. The outcome of this work is still to be assessed, but we do believe that a centralised perspective is important to ensure that there is a good balance between commercial and technological success.
Identify areas for common initiatives. General Oceans research effort into sensor fusion and underwater perception shows how marine construction, survey, and exploration will be more accessible in the years to come. The research group at Reach Robotics received General Oceans funding in 2023 to improve our ability to interpret optical images and autonomously manipulate objects. This work will continue in 2024 with increased focus on specific ROV operations. A successful end product will require high-quality optical and acoustic perception systems, electric manipulators, and tightly integrated control systems. We believe this to be a technology area that will have a significant impact on ROV operations.
Purchase new and established companies. We will continue to look for good opportunities in all segments, including science, defence, and marine construction. Larger companies should have technically advanced products and an organisational structure that is mature and does not require significant changes. Smaller companies need to have promising technologies and early market traction. This activity, which requires both funding and organisational focus, will still be the largest contributor to the growth of General Oceans over the next couple of years.
Invest in people. Our industry is rapidly expanding as ocean technology is asked to solve complex and global problems. At the same time, the workforces in countries without a strong maritime culture are not building their careers at the pace required to keep up with demand. This is the case for technical talent, established or prospective salespeople, marketers, financial experts, human resource leaders, and production personnel. Recognising that as a collective, we have the experience, resources, and energy to tackle this, we established the General Oceans Academy, a collection of professional programs to build the ocean tech talent of tomorrow. Four pillars of the program, GO Explore, GO Faster, GO Experience, and GO Further, offer opportunities for people at every stage including recent graduates, engineers looking to move into management, and established professionals who want to grow their skill base. GO Academy programmes target both internal employees, and prospective hires who are already at home in our industry, or those looking to make a transition to this exciting space.
We look forward to the continued evolution of the General Oceans story, as every day brings both challenges and new opportunities!