Swiber Slips into Red

Singapore-listed offshore EPIC contractor, Swiber Holdings, has reported lower core earnings as fewer contracts were executed for the second quarter ended 30 June 2015 (2QFY15).

Pre-tax profit fell 81.3% to $2.2 million in 2QFY15 against $11.8 million previously. With the absence of foreign exchange, fair value, and disposal of associate gains, net attributable loss
totalled US$4.6 million in 2QFY15 against a profit of US$7.5 million in the previous corresponding period.

Group revenue fell 8.7% to US$200.2 million from US$219.3 million in the same period last year due to fewer contracts executed. During the quarter under review, revenue from Latin America contributed 64.3% or US$128.7 million, with the balance coming from South East Asia, South Asia, and other markets.

Deputy Group Chief Executive Officer, Darren Yeo, said: “Our second quarter results reflected the cautious sentiment in the oil and gas industry as the price of crude oil remained volatile.

“Our order book of nearly US$2 billion is keeping us busy during this lull period although we continue to see opportunities in some of our target markets. We hope to keep the business momentum up and to sign more contracts to secure a robust pipeline for the medium term.”

For the first six months ended 30 June 2015, revenue fell by 12.8% to US$365.1 million. Group net loss totalled US$3.1 million from a profit of US$63.0 million in the same period last year. Net attributable profit declined to US$8.3 million compared with a US$55.5 million profit in the previous corresponding period.