Marco Polo Marine (5LY) Q1 2024 TU earnings summary

Executive summary

• 1QFY2024 revenue rose 22.8% YoY to S$29.1 million; gross profit grew 75.8% to S$11.6 million, driven mainly by stronger charter rates and vessel utilisation.

Financial highlights

• Revenue was S$29.1 million versus S$23.7 million in 1QFY2023, up 22.8% YoY; gross profit was S$11.6 million versus S$6.6 million, up 75.8%.

• Gross profit margin increased to 39.9% from 27.8% in 1QFY2023.

Outlook and guidance

• Southeast Asian OSV demand from offshore wind farms and oil and gas is expected to remain strong and support higher average utilisation rates.

• Ship repair volumes are expected to pick up as China's reopening stabilises; shipbuilding momentum is expected to continue.

• Management expects robust performance to continue in the year ahead.