Vallianz doubled its net profit to US$5.8 million in Q2 2014
Vallianz Holdings Limited, a fast growing provider of offshore support ves sels and integrated marine solutions to the oil and gas industry, today reported a substantial increase in net profit to US$5.8 million for the second quarter ended 30 June 2014, the company said in its press release.
This translated into an increase of 107% from US$2.8 million in the second quarter ended 30 June 2013 . The strong bottom line performance was fuelled main ly by significantly higher revenue of US$38.6 million in 2Q2014 compared to US$4.7 million in the same quarter a year ago. Revenue was lifted by contributions from the Group’s operations in the Ki ngdom of Saudi Arabia, which derives charter revenue by providing offshore support vessels to cu stomers in the Middle East. With two consecutive quarters of profit growth, the Group’s net profit jumped by 172% to US$11.2 million for the six months ended 30 June 2014 as revenue soared to US$66.3 million from US$7.5 million in the six months ended 30 June 2013 . Charter revenue for the Group’s young and modern vessels, which have contracts of u p to five years, accounted for approximately 90% of Group revenue in 1H2014.
Chief Executive Officer of Vallianz, Mr Darren Yeo said, “Based on the results achieved to-date and developments that are taking place, we believe this year will mark a point of inflection for Vallianz in terms of our operating performance and scale. The G roup witnessed a major upswing in our financial performance in 1H2014, thanks to the positive contr ibution from our operations in the Middle East. As a result, our net profit for 1H2014 has exceeded th e full year profit of US$10.3 million in FY2013.”
Mr Yeo added, “In the past months, we have been wor king on several initiatives to scale up our business operations. Besides extending our geograph ical reach to Latin America, the Group also entered into a collaboration agreement with Offshor e Oil Engineering Co., Ltd. (“COOEC”), the largest offshore engineering group in China, to support its offshore oil and gas projects in China and Asia Pacific. COOEC is a subsidiary of China National Offshore Oil Corporation, or CNOOC. Our plans to expand our current fleet of 29 vessels to 50 by 2016 are also on track as we expect to take delivery of around nine new vessels by this year-end.”