Fulcrum reports a big jump in its order book

Fulcrum said there is an encouraging level of opportunity within the electric vehicle charging market
Fulcrum said there is an encouraging level of opportunity within the electric vehicle charging market
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Fulcrum Utility Services, which is gearing up for a big increase in demand for electric cars, said its order book rose 23 per cent to £47m over the past year.

The group is in talks with 25 blue chip companies about switching to cleaner, green vehicles. The Sheffield-based firm, which provides gas and electricity to major sites, is busy installing charge points up and down the country as demand increases for electric vehicles.

Fulcrum reported a year of progress in the year to March 31 and said the increase in its order book reflects the benefits of cross-selling with its subsidiary Dunamis' high voltage design and build business.

Over the year, the group said it has secured a broad base of multi-utility, dual fuel, gas, electricity, new housing and electric vehicle charging projects.

It said Dunamis was hit by external market factors during the last quarter of the year. In particular, the capacity market suspension by the EU in November is delaying a significant number of customer investment decisions and this uncertainty is likely to continue into 2020.

In line with the strategy to broaden the business, Dunamis has grown and diversified into a core portfolio of smaller, higher margin, commercial electrical opportunities.

Fulcrum said there is an encouraging level of opportunity within the electric vehicle charging market and the company is working with a number of charging network providers and energy suppliers. Dunamis said it has secured and delivered a number of these electric vehicle contracts during the second half of the year.

Fulcrum's chief executive Martin Harrison said: "We continue to see sustained growth in our gas infrastructure and asset business and are encouraged by the smart metering, cross-selling and electric vehicle charging opportunities for the company.

"Despite the current conditions in the larger electrical sector, we remain confident that the successful execution of the company’s strategy and balanced approach to the industrial, commercial and residential markets will deliver long term, sustainable growth for Fulcrum.”

Analyst Akhil Patel at Shore Capital said: "Dunamis has encountered external market factors (capacity market suspension by the EU in November 2018) which has delayed a significant numbers of customer investment decisions.

"Management expect these market conditions and the uncertainty associated with investment decisions in infrastructure electrical projects to continue into 2020. Dunamis has however secured and delivered a number of electric vehicle contracts during the second half and there remains a significant opportunity across the electric vehicle market given the potential switch from conventional engines to electric power.

"The company has also entered into the smart metering market during the year and in talks with providers for material opportunities after gaining its accreditations to install, own and operating smart meters."