For this business update for the 1QFY2023 ended March, Seatrium reports an order book of $20 billion, up from a combined $17.8 billion at the end of last year. The spate of recent wins is largely from offshore wind farm-related projects, which means 39% of the order book is from renewable or cleaner energy projects.
Seatrium’s first business update as a newly-combined entity has left a good impression. The company, formed following the long-drawn merger of Sembcorp Marine and Keppel Offshore and Marine, reported strong order growth and evident improvements in its gearing and has inspired analysts to forecast that it can turn around as soon as the next financial year.
“We’ve started the year on a positive note,” CEO Chris Ong says at a briefing on May 12. The priority now is to win more orders and to turn ebitda positive, and then turn his focus on coming up with a sustainable capital structure, which will be a key part of the strategic review estimated by CGS-CIMB’s Lim Siew Khee to take between six to nine months.
