Mainboard-listed Grand Banks Yachts has reported earnings of $21.4 million for FY2024 ended June 30, up 111.5% y-o-y from $10.1 million in the previous financial year.
The group’s earnings for 2HFY2024 also saw an increase of 122.6% y-o-y at $14.45 million.
Earnings per share stood at 11.58 cents, up from a share of 5.47 cents in FY2023.
The group’s revenue saw a 17.1% increase y-o-y to $133.65 million in FY2024, which was largely due to higher boat-building activities in the group’s Malaysian yard.
Similarly, the group's gross profit for FY2024 was up 37.9% to $50.7 million, outpacing revenue growth. This came on the back of higher production efficiency and the absence of trade-in boat sales.
Accordingly, gross profit margin rose to 38.0% in FY2024, from 32.2% in the same period last year.
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As such, the group has proposed a final dividend of one cent per ordinary share for FY2024, as at Aug 28. Once approved by shareholders, this will bring the group’s total dividend for FY2024 to 1.5 cents per ordinary share for the year.
As at FY2024, the group has since recorded 20 new boat orders, as compared to 19 new boats and one trade-in order in FY2023.
The group says that its net order book remains robust at $120 million in FY2024, up from $159.4 million in the previous financial year.
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Moving forward, the group is completing its new single-storey facility at Pasir Gudang yard which will increase usable floor space by over 25%.
The group has also invested in new machinery which will enhance capacity, reduce delivery times and allow the group to build larger, sleeker and more energy-efficient yacht models.
The group says that its strong order book will provide a strong buffer against short-term macroeconomic headwinds, such as elevated interest rates, higher operating costs, and potential disruptions to the supply chain due to the ongoing Russia-Ukraine war and conflicts in the Middle East.
Mark Richards, CEO of Grand Banks Yachts: “FY2024 has been a strong year for the Group; the improvements implemented by the management team have begun to bear fruit, and I am particularly excited about the expansion of our manufacturing facility by early next year, which will further streamline our operations.”
Shares in Grand Banks Yachts closed at 0.5 cents lower or down 1.25% at 39.5 cents on Aug 28.
