Marco Polo Marine has reported earnings of $10.8 million for 1HFY2022 ended March, up 82% y-o-y.
While revenue and margins were both up, the company’s bottomline was lifted by one-off items specifically a revaluation gain of $5.2 million of its equity interest in its Indonesia-based unit PT BBR.
With these non-recurring items are stripped out, Marco Polo’s earnings would be $1.2 million, versus a loss of $0.3 million in the year earlier period.
Revenue for 1HFY2022 was 31% y-o-y to $27.6 million, with stronger growth seen for its ship building and repair operations, where the topline was up 46% to $17.1 million. Its other key business segment, ship chartering, had a more modest gain of 12% to $10.5 million.
“We are pleased to record an increase in net profit in the first half of the year driven by an increase in revenue and expansion of gross profit margins,” says CEO Sean Lee.
“While the impact of the pandemic and the war in Ukraine gives rise to caution about the future, we are still very much determined to pursue our goals for expansion in the renewable energy sector,” he adds.
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In its earnings commentary, Marco Polo notes that higher oil prices will have a “net positive” effect on its daily charter and utilisation rates.
It also expects its newly-completed dry dock extension, to give it a capacity boost.
Marco Polo shares closed on May 11 at 2.9 cents, unchanged for the day.
