Sunday, 30 November 2014

OFFSHORE VESSEL COY MAKE PROFIT OF USD 25.03 MILLION




Offshore Vassel Rental business was rated as quite prospective with booming oil and gas exploration projects in Indonesia’s offshore zones in addition to limited number of Indonesia flag OSV as result of the cabotage principle.
Lately shipping industry had been rated as one of the fast developing business line in Indonesia. Indonesia as an archipelago country put shipping business as transportation means in high demand.

It was not surprising that many foreign corporations were interested in acquiring national liner companies; among them was the highly prospective PT Pelayaran Nasional Bina Usaha Buana Raya Tbk who recently was engaged in collaboration with a Malaysian company Nam Cheong Group a specialist in offshore support vessels.

The transaction took place as majority shareholder of PT Bina Buana Raya, Marco Polo Marine Limited arrived at an agreement with Nam Cheong to buy part of BBRM shares through Right Issue. Soon Nam Cheong would buy 1.6 lots of BBRM shares by end of September 2014 at Rp230 per share. Soon Nam Cheong would have to pay Rp368 billion and process 30% of BBRM shares.

Peter, Company’s Secretary of Pelayaran Nasional Bina Buana Raya explained that Pursuant to that deal he had prepared stages of BBRM shares issuance. Nam Cheong, a Malaysian corporation group specializing in maritime industry and construction had been listed in Singapore stockmarket since 2011. As known Marco Polo Group directly or indirectly commanded over 49.6% of BBVRM shares.

Besides Nam Cheong’s in offshore sailing business could support BBRM’s workload who was resolved to maximize income from this business line. This was important to jack up company’s performance who was losing steam.
In Semester I 2014 BBRM booked income of USD 15.96 million, a downturn by 12.1% of income of the past period last year at USD 18.16 million. All in all BBRM’s profit was cut from USD 4.62 million to USD 225.620.

Meanwhile Financial Report of BBRM up to Q III this year booked profit of USD 25.03 million, an amount which was lower compared to that of the same period last year at USD 27.13 million.

Low company’s income of that period, plus increase of cost and business expenses caused company’s profit to drop compared to last year’s income.

To quote company’s financial report released by the company on Tuesday [14/10], company’s expense in Q III increased by around 13.53% to become USD 19.52 million compared to same perod the previous year at USD 16.88 million.

Meanwhile company’s gross profit of the same period dropped to become USD 5.51 million against same period last year at USD 10.25 million against USD 8.25 million the same period the previous year.
Profit-before-tax in Q III dropped to become USD 995.893 against the previous USD 5.23 million the same period the previous year and attributed profit slumped to become USD 534.832 against the previous USD 4.78 million the same period last year.

In terms of liability, this shipping emittent with code BBRM posted downturn, i.e. from the previous USD 88.76 million last year end to become USD 75.85 million in Q III while company’s equity inched up to become USD 76.02 million in Q III against the previous USD 75.51 last year end. Up to Q 3 total company’s asset was USD 151.87 million or down against total asset of last year at USD 164.27 million. (SS)

Business News - October 17, 2014

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