Mermaid Maritime Public Company (DU4) H1 2024 earnings summary

Executive summary

• H1 2024 service revenue rose 132% YoY to $246.1m; net profit was $3.35m versus a $1.65m loss in H1 2023.

• Q2 revenue increased 155% YoY to $158.5m; net profit was $2.89m, and EBITDA was $12.4m.

• Order book reached $976m at June 30, with work across Southeast Asia, the Middle East, the North Sea and Western Sub-Saharan Africa through FY2026.

Financial highlights

• H1 operating profit was $4.6m versus a $2.7m loss; net profit was $3.35m versus a $1.65m loss, and EBITDA rose to $23.8m from $12.3m.

• H1 gross profit increased to $19.2m from $9.0m, supported by higher vessel utilization and more projects.

• H1 administrative expenses rose 9% YoY to $11.4m; finance costs increased 71% to $4.5m, mainly due to higher interest on parent-company borrowings.

• Q2 gross profit rose to $10.54m from $8.7m; net profit fell from $3.25m as costs and tax expense increased, while higher finance costs weighed on results.

• Basic EPS was $0.0022 for H1 versus a loss of $0.0012 in H1 2023; Q2 EPS was $0.0020 versus $0.0023.

Outlook and guidance

• The $976m order book includes cable laying, subsea pipeline tie-ins, IRM, T&I and decommissioning projects spanning short and long terms through FY2026.

• Very high vessel utilization is anticipated throughout 2024–2026; vessel mobility remains important to organic growth.

• Focus areas include P&A, North Sea decommissioning and diving, Thailand decommissioning and IRM, and further offshore growth in Africa.

• Strategic priorities include expanding engineering and cable capacity and pursuing clean-energy opportunities across offshore wind and subsea technology.