Marco Polo Marine Q3 gross profit up 47.2% to $14.2 million

SINGAPORE – Marco Polo Marine on Thursday posted a 47.2 per cent rise in gross profit to $14.2 million for the third quarter ended June, from $9.7 million in the previous corresponding period.

This came as the marine logistics company’s ship chartering and shipyard segments both recorded improvements in operational performance.

The group’s revenue grew 28.9 per cent year on year to $36.8 million from $28.5 million. Gross profit margin stood at 38.7 per cent compared with 33.9 per cent previously.

For the nine months ended June 30, revenue stood at $92.7 million, up 65.1 per cent from $56.2 million. Gross profit was 78.9 per cent higher on the year at $31.9 million from $17.8 million.

Recovery in the offshore vessel (OSV) market helped boost the group’s ship chartering segment, with demand for OSVs rising notably during the quarter. Marco Polo Marine said this led to an eight percentage point rise in utilisation rates year on year.

Contributions from Pelayaran Nasional Bina Buana Raya and PKR Offshore, its Taiwan-based offshore renewables service, also bolstered vessel charter and utilisation rates from March and May 2022, respectively.

There was higher demand from end users for the shipyard segment, with shipbuilding and ship repair activity gaining ground over the quarter. Average utilisation rates for ship repairs were also operating at near full capacity.

“Notwithstanding any unforeseen circumstances, we anticipate a positive finish to the year,” said Marco Polo Marine chief executive Sean Lee.

Shares of Marco Polo Marine were trading up 0.1 cent, or 1.9 per cent, at 5.3 cents as at 9.44am on Thursday, after its earnings announcement. THE BUSINESS TIMES