CH Offshore Customer Debts Weighed Heavily in FY 2013

MarineLink.com
Tuesday, October 22, 2013
CH Offshore vessel: Image courtesy of the owners

In its financial year ended 30 June 2013 report Singapore's CH Offshore had to make a full allowance for doubtful trade receivables of US$43.95 million as the debts had been long overdue and payment from the client was not forthcoming. Nevertheless a dividend was declared and chairman, Tan Pong Tyea expressed optimism for the future and noted as follows:

"The financial year ended 30 June 2013 (“FY13”) marked the 10th year since CH Offshore Ltd (the “Company”) became a public limited company on 28 February 2003. Over the last 10 years, the CH Offshore Group (the “Group”) like all other organisations had to ride through global financial woes and economic downturns. Although the going was tough, the Group remained profitable over the years since 2003 till recently.

At the end of FY13, the Group had to make a full allowance for doubtful trade receivables of US$43.95 million as the debts had been long overdue and payment from the client was not forthcoming. Although the allowance of the doubtful trade receivables was made in full, we will continue to ensure no effort is spared to recover this outstanding debt. In the event that we are able to recover the balance, adjustments will be made to the allowance for doubtful trade receivables in the subsequent financial year.

As a result of the full allowance made for doubtful trade receivables, the Group made a loss after tax of US$7.108 million for FY13. This is the first time in 10 years the Group has suffered a loss since the Company became a public limited company. If not for this allowance made, FY13 would have been another profitable year for the Group. Due to the lower operating costs, gross profit after direct depreciation increased 12.1% to US$32.525 million from US$29.025 million for FY12

Dividend
Despite suffering a loss after tax of US$7.108 million for FY13, the directors have decided to recommend a first and final tax-exempt dividend of 1.50 SGD cents per ordinary share which will amount to approximately S$10.576 million (equivalent to US$8.374 million).

To arrive at this decision, the directors have taken into consideration the strength of the Group’s financial position as at 30 June 2013. The Group had accumulated profits of US$170.611 million and surplus cash generated from operations of US$14.404 million during FY13."
 

Maritime Reporter March 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

People & Company News

Offshore Driller Noble Corp Q1 Earnings Beat Forecasts

Noble Corp., a leading offshore driller, reported first-quarter net income on Wednesday of $0.99 a share, higher than consensus forecasts, as new rigs helped lift revenues.

WireCo Acquires Netherlands’ Endenburg

Company will open new crane distribution center WireCo WorldGroup Inc., the world’s leading producer and marketer of specialty steel ropes and high synthetic ropes,

Keppel Q1 Profits Dip Slightly

The Keppel Corporation released its limited unaudited results for the first quarter ending March31, 2014, reporting a 5% decrease in net profits to S$339 million compared to Q1 2013's S$357 million,

Offshore

Offshore Driller Noble Corp Q1 Earnings Beat Forecasts

Noble Corp., a leading offshore driller, reported first-quarter net income on Wednesday of $0.99 a share, higher than consensus forecasts, as new rigs helped lift revenues.

Keppel Q1 Profits Dip Slightly

The Keppel Corporation released its limited unaudited results for the first quarter ending March31, 2014, reporting a 5% decrease in net profits to S$339 million compared to Q1 2013's S$357 million,

US: $4B in Loan Aid for Renewable Energy

The U.S. Energy Department on Wednesday unveiled a plan for up to $4 billion in loan aid for renewable energy companies to help rejuvenate a program that faced

Finance

Offshore Driller Noble Corp Q1 Earnings Beat Forecasts

Noble Corp., a leading offshore driller, reported first-quarter net income on Wednesday of $0.99 a share, higher than consensus forecasts, as new rigs helped lift revenues.

Crashes in Crucial US Crude Waterway Hit 10-year Low

Serious crashes in the bustling Bay of Galveston have fallen to the lowest level in a decade even as more oil moves on U.S. waterways, official data show, suggesting

All Items Approved at Stolt-Nielsen Meeting

Stolt-Nielsen Limited announced that all agenda items were approved and all nominated directors were elected at its Annual General Meeting of shareholders held yesterday in Bermuda.

 
 
Maritime Contracts Maritime Standards Naval Architecture Pod Propulsion Port Authority Salvage Ship Electronics Ship Repair Shipbuilding / Vessel Construction Winch
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.1209 sec (8 req/sec)