Ezra posts stronger first half results

Net profit in the first half of financial year 2014 doubled to $14.3m over the previous corresponding period.

Revenue for the group in the six months ended 28 February 2014 grew 22% year-on-year to $640.3m, with the subsea division Emas AMC continuing to be the key driver to the revenue growth.

The increase in revenue for Emas AMC was driven by the increased fleet capacity following the delivery of two subsea pipelay construction vessels and the increase in value and number of projects undertaken in the reporting period.

Ezra's revenue increase was partially offset by weaker gross profit margin at Emas Marine, the offshore support services division. This was due to higher operating and maintenance costs, and the anchor handling tug segment saw weaker utilisation.

“We expect to see further earnings growth in 2014 and an increase in our profitability as we leverage economies of scale,” said Lionel Lee, group ceo and managing director of Ezra.

Meanwhile, Ezra announced on Friday that it has won a deal from Noble Energy to perform offshore installation of pipelines, umbilicals and ancillary equipment for the Gunflint Project in the Mississippi Canyon area of the US Gulf of Mexico.

Project preparation activities have already commenced and offshore works are scheduled to be carried out during 2015.