Singapore-listed offshore services provider Vallianz Holdings’ profit for the second quarter of 2015 declined 29.1% year on year to USD4.58 million despite recording higher earnings for the period.
The company’s revenue climbed 68.6% to USD65 million in the second quarter that ended on 30 June from USD38.6 million in the same period last year, driven by higher charter and brokerage revenue, ship management and shipyard services fees, and investments and acquisitions.
However, Vallianz incurred increased administrative expenses, which surged 33.1% on a year ago to USD5.17 million, while its finance costs increased 39% on a year ago to USD7.3 million.
The increase in costs was caused by higher staff and travel related expenses in the second quarter of 2015 and issuance of notes under multicurrency debt issuance programme in the last quarter of 2014.
Nevertheless, in its filing to the Singapore Exchange, the company noted it has an appropriate business model to ride through periods of market volatility.