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Bourbon stacks 27% of its supply vessel fleet

Bourbon stacks 27% of its supply vessel fleet
The protracted downturn of the offshore market has led to Bourbon stacking more idled supply vessels and recording lower revenue and rates in the second quarter.

As at end-June 2016, 67 supply vessels were stacked, representing 27% of its supply fleet and an increase of 20 more units from the 47 stacked as at 31 March this year.

Bourbon, however, claimed that it has managed to preserve cash through proactive stacking of vessels whenever appropriate.

In results, the offshore marine and subsea services firm posted a second quarter revenue of EUR284.7m ($319.2m), down 24.1% from EUR375.2m in the same period of last year.

The company’s average vessels utilisation rate decreased to 64.5% during the quarter compared to 79.5% in the previous corresponding period.

Bourbon also saw its average daily rate fell to $15,265 from $18,640 in the year-ago period.

Bourbon pointed out that the bottom of the market in the subsea segment and the crew segment was reached in the first quarter and second quarter this year, respectively.

In the segments of the deep and shallow water, the company anticipates the bottom of the market in the third quarter due to the late cyclical nature of the business.

Jacques de Chateauvieux, chairman and ceo of Bourbon, said: “While the world’s largest oil field services company thinks the crude oil market has bottomed, Bourbon is ready to benefit in the first place from the market recovery when it will materialize.”