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Singapore’s offshore rig and vessel builder Keppel Offshore & Marine saw its quarterly profit halved despite a significant increase in revenues. <\/strong><\/p>\n Keppel Corporation said on Wednesday that its Offshore & Marine (O&M) Division registered a net profit of S$3 million ($2.1 million) for 1Q 2020, compared to a net profit of S$6 million ($4.2 million) a year ago.<\/p>\n This was due mainly to the share of losses from associated companies which had offset the Division\u2019s stronger operating results.<\/p>\n The company’s revenues for 1Q 2020 were S$569 million ($401.7 million), a 71 per cent increase when compared to revenues of S$332 million ($234.4 million) in the same period last year. <\/p>\n This was mainly attributable to higher revenue recognition from ongoing projects such as Awilco’s semi-submersible rig, Golar Gimi FLNG, Borr Drilling jack-up rig, and Pasha LNG containership.<\/p>\n In Singapore, Keppel O&M\u2019s yards continue to provide essential services in ship\/vessel repair and maintenance and overhaul during the circuit breaker with reduced manpower and various precautionary measures in place. <\/p>\n Most of the company\u2019s overseas yards, except for those in the Philippines, are also operational, albeit, with varying restrictions, the company said. <\/p>\n Keppel O&M noted that its efforts to rightsize its operations and diversify from oil-related projects over the past few years is helping it to remain resilient amid challenging conditions posed by the COVID-19 pandemic and the collapse in oil prices.<\/p>\n Notably, renewables and gas-related solutions, make up over 70 per cent of the Division\u2019s net order book of S$4 billion ($2.8 billion) as at end-March 2020.<\/p>\n Keppel said it will continue to actively pursue opportunities in gas and renewables, and also repurpose Keppel O&M\u2019s technology for other floating infrastructure uses.<\/p>\n Loh Chin Hua<\/strong>, Chief Executive Officer of Keppel Corporation, said: “Given the current highly volatile environment and low prices, oil majors are curtailing E&P spending, which will push back the nascent recovery that we had just begun to see in the O&M sector<\/em>.<\/p>\n “We expect the O&M business to face very challenging conditions in the near future. We would also need to keep a close watch on customers and associates who would be affected if there is a prolonged downturn in oil prices”. <\/em><\/p>\n The post Keppel Offshore & Marine profit halved despite higher revenues<\/a> appeared first on Offshore Energy<\/a>.<\/p>\n world maritime news<\/p>\n","protected":false},"excerpt":{"rendered":" Singapore’s offshore rig and vessel builder Keppel Offshore & Marine saw its quarterly profit halved despite a significant increase in revenues. Keppel Corporation said on Wednesday that its Offshore & Marine (O&M) Division registered a net profit of S$3 million ($2.1 million) for 1Q 2020, compared to a net profit of S$6 million ($4.2 million) …<\/p>\n","protected":false},"author":1,"featured_media":8930,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[64],"tags":[817,5564,1310,2122,531,1131,3543,798],"class_list":["post-8929","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-maritime-news","tag-amp","tag-halved","tag-higher","tag-keppel","tag-marine","tag-offshore","tag-profit","tag-revenues"],"_links":{"self":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/posts\/8929","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/comments?post=8929"}],"version-history":[{"count":0,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/posts\/8929\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/media\/8930"}],"wp:attachment":[{"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/media?parent=8929"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/categories?post=8929"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.al-sindbad.net\/rest\/wp\/v2\/tags?post=8929"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Diversification from oil projects<\/h3>\n<\/div>\n