Wintermar reports 19% rise in Q1 net profit
Tuesday, April 30 2013 - 01:30 AM WIB
IDX-listed offshore marine services company PT Wintermar Offshore Marine (WINS) reported a net profit of US$5.8 million in the first quarter of this year, a 19 percent increase compared to the same period of last year.
Revenue in the first quarter grew 45 percent to $39 million year-on-year on the back of a rebound in the chartering division, the company said in a statement received Monday.
?As demand for higher value Indonesian Offshore Support Vessel (OSV)s picked up, our strong track record in the OSV market enabled us to win some higher value vessel contracts for which we brought in third party vessels to operate,? Wintermar said.
Gross profit from chartered vessels saw a significant jump of 282 percent to $1.3 million compared to the previous year, reflecting new chartering contracts for high value vessels and a slight improvement in margins, it added.
The company further explained that owned vessel revenues grew by 11 percent to $18.5 million because of fleet expansion in 2011 and 2012, while gross profit from this division rose 9 percent to $9 million compared to first quarter in 2012, reflecting the impact of the utilization of the new high value vessels acquired in 2013. Other ship management revenues were also up by 93 percent to $2 million as compared to the previous year.
Total gross profit rose from $9 million in 2012 to $11.3 million for first quarter 2013, a gain of 24 percent year-on-year. However, overall gross margins declined from 33.8 percent to 28.9 percent because of the strength in the chartering division, which has much lower gross margins but is also asset light.
During the first 3 months of 2013, WINS took delivery of 3 new vessels: 1 Heavy Load Offshore Barge, 1 Fast Utility Vessel and 1 Platform Supply Vessel. ?These vessels were not fully utilized in the first quarter,? the company said.
Another 3 to 4 vessels are expected in second quarter of 2013 as there are a total of 8 vessels ordered for 2013. ?However, with the stronger than expected demand for higher value vessels so far this year, we expect to raise our capital expenditure plans should we win more high value vessel tenders.?
Wintermar said that as of end of March 2013, the total contracts on hand were worth $201 million. ?This reflects the strong demand we are experiencing from the oil and gas industry, especially for higher value fleet. There are several tenders expected to be announced in the upcoming months and WINS will be bidding for some of these.?
Editing by Reiner Simanjuntak