LONDON - Hunting PLC (LSE: LON:HTG), a global precision engineering group, has begun a significant restructuring of its EMEA (Europe, Middle East, and Africa) operations, the company disclosed today. This move follows a comprehensive review of the European market and the impact of the UK government's strategies on the region's energy sector.
The restructuring encompasses the consolidation of Hunting's operations, which span seven sites across the UK, the Netherlands, Norway, Saudi Arabia, and the UAE. This decision is an extension of earlier consolidation efforts, most notably the transfer of the well testing manufacturing and assembly business from the Netherlands to Dubai.
Hunting's directors have initiated these changes in response to the market and trading outlook in Europe, as well as the UK North Sea oil and gas industry's tax regime and the UK's commitment to decarbonizing its energy supply. The objective is to realign the company's cost structure with the medium-term prospects of the region.
The company anticipates total cost savings of approximately $10 million, which includes reductions in sales, general, and administration expenses. This restructuring is part of Hunting's strategic efforts to enhance efficiency and profitability amidst evolving market conditions.
The information presented in this article is based on a press release statement from Hunting PLC. The company's trading update was issued separately and provides additional context to the restructuring measures. This initiative represents a strategic shift for Hunting as it navigates the challenges and opportunities within the EMEA region's energy sector.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.