Kuala Lumpur-listed Icon Offshore posted a loss of MYR5m ($1.23m) for the quarter ended 31 March 2016 as against the profit of MYR2.71m in the same period of 2015.
Revenue for the quarter fell by 18.5% year-on-year to MYR51.83m due chiefly to lower fleet utilisation rate arising from completion of several long term contracts, vessels laid up as well as continuous low activities in the oil and gas segment.
Furthermore, reduction in daily charter rates for several existing contracts and new contracts affected the revenue.
“Despite the fact that oil price have been improving over the period under review, the activities level of oil and gas industry remains lagging,” Icon Offshore noted.
“The market condition for OSV remains highly challenging which has largely impacted the OSV operators, including the company. In addition, OSV operators in this region is also impacted by monsoon season, in the first and last quarters of each year where the group expects similar trends as previous years to impact the group’s financial results,” it said.
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