Major projects give Vard "exceptionally high" order intake in first quarterYard News // April 29, 2014
Vard Holdings Limited says its orderbook is at a five-year high.
The company recorded what it called "an exceptionally high order intake" of NKr 5.5 billion in the first quarter of 2014, securing eight new vessel contracts.
The value of the orderbook at the end of the quarter amounted to a five-year high of NKr 21.8 billion, representing a 13 per cent increase from the full year 2013 and a 41 per cent increase from the same quarter in the preceding year.
The company's order intake included an arctic AHTS vessel for Bourbon – the first AHTS contracted since 2012 – a subsea vessel for Solstad Offshore – VARD’s largest ever single vessel order – a DSV/construction vessel for Technip, and three PSVs to be built at the group’s yard in Vietnam, two of which are for new customer Mermaid Marine Australia.
During the quarter, Vard delivered four vessels in Norway and Romania. As of 31 March 2014 its orderbook stood at 45 vessels, of which 27, or 60 per cent, will be of Vard design.
In the quarter the company generated stable revenue of NKr 2.7 billion, representing a slight 2.7 per cent dip from the first quarter of 2013. EBITDA margin (representing EBITDA to total operating revenues) increased for the third consecutive quarter, ending at 6.4 per cent, against a high EBITDA margin of 11.1 per cent for 1Q2013.
The group’s cash position improved with nearly NKr 400 million since the end of FY2013, and cash and cash equivalents at the end of the quarter stood at "a robust" NKr 2.1 billion.