Singapore-listed offshore services provider EMAS Offshore has posted a net profit of USD5.18 million for the third quarter that ended on 31 May 2015, as compared with a profit of USD0.18 million in the third quarter of 2014.
The increase in profit was attributed to contributions from the company‘s offshore production services division, which comprises two floating production, storage and offloading (FPSO) vessels.
The FPSOs have performed well, with high operational uptime of more than 98%. Both FPSOs are on multi-year contracts and operating in production fields with good long-term production rates and profiles.
However, EMAS Offshore’s revenue decreased 15% year on year from USD70 million to USD59.2 million in the third quarter. The lower revenue was mainly due to weakness in both the shallow water AHTS and shallow water PSV segments. EMAS Offshore stated that the decrease is partially offset by contribution from the production segment.
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Meanwhile, EMAS Offshore continues to see sustained demand in the larger anchor handling tug supply vessel segment, where utilisation rate remains high at above 90%, as vessels of this category are required in the Asia Pacific and West African regions to support various offshore activities.
EMAS Offshore CEO Jon Dunstan said the company will continue to prioritise vessel utilisation.
“Amid challenging market environment and oil price volatility, we continue to take steps to reduce costs, implement initiatives to improve operational efficiency, and increase focus on vessel utilisation,” commented Dunstan in the company’s filing to the Singapore Exchange.