Second quarter net profit fell to S$143m ($114.5m) from S$150m a year ago due mainly to the timing in recognition of projects, the number of projects that achieved initial recognition, the value and the design of the rig building projects, Sembcorp Marine said.
Revenue for the Singapore-listed company was at S$1.2bn, a jump of 46% year-on-year, due to the progressive recognition of projects in particular in the rig building sector.
Sembcorp Marine has secured orders worth a total of S$3.1bn, excluding ship repair, since the start of the year, growing the group's net orderbook from S$5.1bn as at the end of 2011 to S$6.6bn, with completion and deliveries extending until 2015.
The company said there is continuing demand for floating platforms, FPSOs, and LNG carriers for repairs and life extension work.
“Amid the economic uncertainty and volatile global market conditions, the fundamentals for offshore oil and gas activities remain intact driven by demand for technically advanced, versatile and efficient rigs that are capable of shallow and deepwater drilling. For the deepwater segment, continued growth is expected given the tight supply of deepwater rigs,” Sembcorp Marine said.
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