Yangzijiang Shipbuilding's Q4 net profit falls 8%

Yangzijiang Shipbuilding (Holdings) said that fourth quarter earnings fell 8 per cent as it delivered fewer vessels.

Net profit for the three months to Dec 31 was 746.3 million yuan (S$156.7 million), down from 807.65 million yuan a year ago.

Revenue fell 5 per cent to 3.38 billion yuan.

Yangzijiang delivered six vessels in the quarter, lower than the 12 delivered in the same quarter in 2012. This was because the company relocated an old yard and temporarily suspended shipbuilding activities at Changbo yard.

"Nonetheless, other shipbuilding related revenue such as ship demolishing, fabrication, design, trading of ship supplies registered positive contributions," said Yangzijiang in its results announcement.

Full-year net profit fell 14 per cent to 3.1 billion yuan and turnover dipped 3 per cent to 14.34 billion yuan as the company delivered fewer vessels.

Gross profit actually rose 4 per cent to 4.76 billion yuan as the company achieved a higher gross profit margin. But an increased effective tax rate drove down the net profit.

Full-year earnings per share was 80.79 fen, from 93.45 fen a year earlier. Net asset value per share was 4.65 yuan at Dec 31, from 4.05 yuan a year earlier.

The company declared a final dividend of five Singapore cents per share.