SembMarine reports 12.3% rise in Q3 net profit to $130 million

Sembcorp Marine has reported a solid rise in third quarter net profit after recognising more revenue from its rig building projects and reaping some foreign exchange gains. -- FILE PHOTO: BLOOMBERG
Sembcorp Marine has reported a solid rise in third quarter net profit after recognising more revenue from its rig building projects and reaping some foreign exchange gains. -- FILE PHOTO: BLOOMBERG

SEMBCORP Marine has reported a solid rise in third quarter net profit after recognising more revenue from its rig building projects and reaping some foreign exchange gains.

Earnings for the three months to Sept 30 rose 12.3 per cent to $130 million, compared with the same period last year.

The bottomline was aided by a $12.4 million foreign exchange gain, reversing a $14.8 million foreign exchange loss last year, as the company revalued assets denominated in euro and US dollars, to the Singapore dollar.

Revenue rose 85.9 per cent to $1.66 billion for the quarter thanks to higher revenue contributions from the rig building and repair sectors.

"A total of five rigs - comprising a well intervention semi-submersible rig, a harsh-environment semi-submersible rig and three jack-up rigs - achieved initial recognition in the third quarter of 2013," said SembMarine in a statement.

Only one jack-up rig achieved initial revenue recognition in the same period last year.

The topline for the three months was also boosted by an increase in repair revenue as the new integrated yard in Tuas started operations on Aug 5.

Earnings per share for the quarter were 6.21 cents, up from 5.53 cents in the same period last year. Net asset value per share was $1.21 at Sept 30, from $1.17 at the end of last year.