Sembcorp Marine Q2 profit down 17%, bleak outlook for offshore exploration vessels
SINGAPORE - Singapore’s Sembcorp Marine Ltd said its second-quarter net profit fell 17 percent from a year earlier, as low oil prices led to cuts in global exploration and production expenditure.
Sembcorp Marine, a subsidiary of Singaporean conglomerate Sembcorp Industries Ltd and a builder of offshore drilling rigs, posted a net profit of S$109 million for the quarter ended June 30, compared with S$132 million a year earlier.
“Some customers are deferring or seeking to defer the delivery of their ordered rigs on a lack of charter contracts,” it said in a statement.
While the new order outlook for offshore exploration vessels remains bleak, particularly in the jack-up segment, Sembcorp Marine said it has benefited from its strategy to diversify its product offering in addition to drilling solutions.
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