Swiber Makes Record Revenue and Net Profit (Singapore)

Swiber Holdings Limited has reported that it has achieved record revenue and net profit for the second consecutive year-running for the full year ended December 31, 2013.

Revenue rose 11.2% to hit US$1.1 billion from US$952.2 million for the full year ended December 31, 2012. The Group’s topline was driven by a 75.3% surge in sales in the South East Asia segment to US$780.8 million from US$445.5 million over the same period.

Overall, in tandem with higher sales, gross profit, a fair value gain and share of profit of associates and JVs, net profit increased 45.3% to US$90.9 million in FY2013, up from US$62.5 million in FY2012.

Mr. Francis Wong, Group Chief Executive Officer and President of Swiber, commented: “We are pleased to have delivered our second consecutive year of record-high revenue and net profit. With revenue surpassing the US$1 billion mark, this is not only a momentous breakthrough for Swiber but also a firm reflection of our strong underlying fundamentals and testimonial to our operational capabilities to consistently deliver high level of excellence in our industry.

“The South East Asian market, where we enjoy a long and solid track record, remains strong, given expected accelerated O&G exploration to boost domestic oil production in this region. We remain bullish on rest of Asia too, where rig demand is expected to be strong for the next few years.

“With a well-diversified portfolio of our US$800 million order books, we are well-positioned to expand market growth and entrench our foothold in the Latin America market; replicating the success of our South East Asian market.

“Internally, we continue to improve our operational efficiencies to achieve further integration and competitive advantage of the Group. We’ve recently expanded our yard which increased our berthing infrastructure. Our collaborations with strategic partners have remained fruitful and we will continue to cultivate these relationships and seek out synergistic opportunities to expand our business further.”

Growth Strategies & Outlook

Oil prices are expected to remain at a sustainable level of above US$80/barrel this year, with global exploration and production spending expected to see another record high of US$723.0 billion in 2014, 6% higher than the previous year.

Francis Wong added: “Looking ahead, with our strong value proposition and broadened capabilities, we are in a very good position to tap on opportunities as they arise. Buoyed by high oil prices over the past few years, expenditure is expected to increase by 130% to US$260 billion from 2014 to 2018. We will also remain prudent in managing our operations to maximise cost efficiencies in addition to providing valued added solutions to our customers.”