Earnings and revenue down at Rem OffshoreCompany News // August 27, 2015
Rem Offshore in Norway says the North Sea spot market was weak in the second quarter, especially in the PSV segment. It said that AHTS rates were "acceptable at times" but very variable.
"PSV rates are well below operating expenses," said the company, noting that there is still what it described as a "satisfactory" level of activity in the subsea segment, but here too activity levels are in decline.
"The offshore market in general is expected to remain challenging for some time," said Rem Offshore in its second quarter results.
The group’s contract coverage for the rest of 2015 stands at around 62 per cent (66 per cent including options). Rem has laid up two PSVs until market conditions improve.
The company recorded operating revenue of NKr 607.8 million in the first half of 2015 (2014: 598.6 million). EBITDA for the period came to NKr 315.7 million (342.2 million), giving an EBITDA margin of 51.9 per cent (57.2 per cent). Net profit for the period was NKr 70.1 million (183.2 million). The second quarter saw operating revenue of NKr 292.0 million (335.1 million), EBITDA of NKr 154.9 million (195.0 million), an EBITDA margin of 53.1 per cent (58.2 per cent) and net profit of NKr 64.3 million (105.8 million).