(Asia-Pacific) - SembCorp reports a 29% increase in net profits of $121.4 million in 2005, attributable to growth across all business segments, in particular the offshore conversion and rig building segments.
For the ship conversion and offshore sector, market fundamentals for FPSO vessels and floating storage offloading vessels will continue to be strong, driven mainly by high oil prices and E&P activities.
Rig building demand is also expected to be strong, attributed mainly to worldwide high utilization and unprecedented high charter rates, says SembCorp.
Turnover for FY 2005 registered a record high at $2.12 billion, an increase of 55.5% from $1.36 billion in FY 2004.
New contracts secured by the group in 2005 were at a record high at $4.2 billion with deliveries and completion till 2009.
The increase is 102% as compared with the $2.1 billion worth of contracts secured for the year 2004.
Total outstanding order book, excluding ship repair, currently stands at $5.9 billion.