Below a report on a similar company in the same sector as NMS ie. ROV's, Vessels, survey and engineering services.... A different story completely I am sure you will agree.
Ezra reports 93% jump in first quarter profit
Singapores Ezra Holdings posted 93 %increase year-on-year in net attributable profit to US$18.4 million for its first quarter ending November 20, 2009. The Group also saw gross profit margins improve by 7%age points year-on-year to 32% from 25% previously. However, Ezras revenue inched down to US$61.0 million because of the different completion stages for the engineering projects undertaken by the marine services division and different nature of projects undertaken by the deepwater subsea services arm. Nevertheless, the decreases were partially offset by an increase in revenue from the offshore support services division. Ezra Managing Director, Lionel Lee explained the Groups formula for success: Our ability to achieve solid margins is built on our strategy of constantly seeking quality assets at attractive prices that can expand our capabilities and layering them with our expertise to further extend the scope of our service offerings.
Through our exacting execution of this strategy, we can provide customers with more value-added and complete solutions at highly competitive prices, which will in turn drive higher returns for our shareholders. Looking forward, Lee said: Our energy services unit has built up an enviable track record since it was established three years ago, strengthening ties with various oil majors in the industry along the way. Armed with the recent acquisitions of sophisticated specialised equipment, this unit will pave the way for us to secure deepwater subsea contracts for our incoming subsea-capable vessels. Thus, we are confident that the Group will be able to march swiftly into our next stage of growth. Meanwhile, Ezra has signed a new long-term contract to provide inspection, maintenance and repair services to support subsea work on an existing production field of a national oil company in the region. The long term charter expected to commence immediately is worth up to US$12 million. Lee said Ezras Deepwater Subsea Services segment was planned as early as three years ago, and this contact, together with our global presence, will help pave the way for more jobs.
NEWSBASE, January 20, 2010
NMS Price at posting:
20.8¢ Sentiment: None Disclosure: Not Held
