MPM noted that Indonesia’s legislative and presidential elections currently in progress are expected to hold back activities in the offshore sphere. The company’s chartering business of tugboats and barges are also expected to continue to remain subdued.
The company’s shipbuilding and repair operations are also anticipated to face keen competition from shipyards in the Asian region.
But MPM’s new shipbuilding program focusing on the building of mid-sized offshore support vessels, even though the program caters mainly to internal demands, continues to keep the group’s shipyard occupied for the next 12 months.
Meanwhile, MPM is actively on the lookout for partners to complement its resources and expertise for its eventual rig chartering operations, the first time that it has ventured into the rig business. The yard is presently building an oil rig slated for delivery in November 2015.
On Tuesday, Singapore-listed MPM posted a second quarter net profit of SGD3.02m ($2.42m), down 68% compared to SGD9.34m in the corresponding quarter of 2013. Revenue, however, rose 52% year-on-year to SGD32.49m.
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