Baker Technology BTP announced that its earnings for its FY2022 ended Dec 31, 2022, came in at $13.4 million, a 128% increase from $5.89 million in FY2021.
This came on the back of revenue growing some 42% y-o-y to $98.5 million from $69.5 million a year ago.
For the 2HFY2022 period, earnings were 141% higher y-o-y at $4.28 million, while revenue was 31% higher y-o-y at $51.4 million.
The revenue increase for both FY2022 and 2HFY2022 was primarily due to higher fabrication revenue as a result of improved operating conditions. This, along with the absence of loss on disposal of vessels of $4.7 million and $3.8 million recorded in 2HFY2021 and FY2021, respectively, also contributed to the higher earnings in 2HFY2022 and FY2022.
However, the earnings growth was partially offset by higher administrative expenses due to allowance for expected credit losses and an increase in payroll expenses, as well as higher foreign exchange losses for the current periods.
Baker Technology’s board has recommended a final cash dividend of 1.0 cent per share.
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Although the outlook across the marine offshore market (oil and gas as well as renewables) continues to show signs of improvement, inflationary pressures (and related increased interest rates), geopolitical tensions and the threat of recession continue to weigh on the market increasing uncertainty and volatility. To prepare for the unknown, the group says that it will continue to adopt a conservative strategy to adapt to the rapidly evolving environment.
Shares in Baker Technology closed at 66 cents on Feb 27.
