SINGAPORE (Aug 14): Pacific Radiance, the provider of offshore marine support services, reported 2Q losses narrowed 88% to US$7.1 million from US$59.5 million a year ago.
For the 1H, earnings fell 65% to US$22.2 million from US$64.2 million.
Revenue in 2Q came in at US$17.5 million, 13% lower than a year ago mainly attributable to the decline in revenue of the Offshore Support Services Business of 40% to US$11.3 million in 2Q17 from US$18.9 million in 2Q16 due to lower utilisation and lower charter rates of vessels from its Offshore Support Services Business.
This was partially offset by an increase in revenue from its Subsea Business of US$3.2 million to US$4.3 million in 2Q17 from US$1.1 million in 2Q16 and revenue from our Shipyard Business of US$2.0 million in 2Q17, which started operations in 3Q16.
Pang Yoke Min, the Executive Chairman of Pacific Radiance, says: “We have been proactive and prudent in managing our costs and cashflow while ensuring that we do not compromise on quality or our ability to service current contracts and take on new work.
“Although there has been a pick-up in activity in the offshore market, operating conditions are expected to remain challenging over the next 12 months. Thus, the group has taken additional measures to rein in costs, which include further right-sizing of our fleet and reduction of overheads, even as we press on with our marketing efforts.”
Shares in Pacific Radiance closed 0.7 cent lower at 8.6 cents on Friday.
