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    Maersk Supply Service makes US$11 million loss

    Company News // August 18, 2017

    Maersk Supply Service has reported a loss of US$10 million and underlying loss of US$11 million for the second quarter of 2017,.

    The company atrributed the losss to lower utilisation and the challenging nature of the market for offshore support vessels. In the second quarter Maersk Supply Service had gross utilisation of 56%, compared to 61% in the second quarter of 2016.

    “In the last quarter we had solid operational and commercial performance, including important contract wins. However, due to the subdued offshore market, Maersk Supply Service reported an underlying loss of US$11M, which is never satisfactory,” said the company’s chief executive Steen Karstensen.

    “We have optimised the delivery schedule for our newbuildings to better fit the market situation and strengthen our utilisation options. This will benefit our competitiveness by allowing extra time to align with customers,” said Mr Karstensen.

    The company's second Starfish-type newbuild anchor handler, Maersk Mariner, delivered in early July, has secured its first contract and is now on its way from Norway to Australia to work for Woodside Energy.

    During the quarter Maersk Supply Service concluded agreements to postpone delivery of the four remaining Starfish anchor handlers, which are being built by Kleven in Norway. The company will now take delivery of three more of the class in 2018 and the last one in 2019. Four Stingray-type subsea vessels at Cosco Dalian in China will be delivered in 2017 and 2018, slightly later than previously communicated.

    Postponing capital expenditure by delaying delivery of the vessels will save the company approximately US$400 million in 2017.

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