Vard Increased Revenues 15.8% in 2014

Posted by Josh Keefe February 26, 2015

The Far Sun (Photo courtesy of Vard Holdings Limited)

Shipbuilder Vard Holdings Limited increased revenues 15.8% in 2014, the company announced in its year-end financial report today.

On the back of very high activity at the yards and with subcontractors, VARD’s 4Q 2014 revenue rose 45.5% to NOK 4.5 billion ($587 million) from the corresponding period in 2013. FY2014 revenue increased 15.8% to NOK 12.9 billion ($1.6 billion) year-on-year, but due to higher operational expenses, FY2014 EBITDA dipped 37.5% to NOK 429 million ($55 million). FY2014 profit after tax stood at NOK 50 million ($6.5 million), compared to NOK 300 million ($39 million) for the previous year. As guided in the previous quarter, EBITDA margin improved and was positive, registering 2.7% for 4Q2014 and 3.3% for FY2014.

A company-wide cost improvement program is in progress, and is aimed at increasing flexibility and reducing both fixed and variable costs, thereby strengthening VARD’s position in a highly competitive market.