Oceanus Group (579) H1 2023 earnings summary

Executive summary

• 1H 2023 revenue rose 42% YoY to SGD121.8m; gross profit increased 55% to SGD9.4m, while net loss narrowed to SGD0.6m from SGD0.8m.

• Higher distribution volumes drove growth; increased operating expenses and finance costs partly offset gross profit gains.

Financial highlights

• Revenue SGD121.8m, up 42% YoY; cost of goods sold SGD112.4m, up 41%; gross profit SGD9.4m, up 55%.

• EBITDA SGD5.7m, up 77% YoY; PBT was a SGD1k loss versus a SGD412k loss in 1H 2022.

• Net loss SGD610k versus SGD818k; other operating income rose 123% to SGD4.5m, mainly from FX movements and Jobs Support Scheme grants.

• Other operating expenses rose 69% to SGD8.2m, reflecting growth investments including workforce expansion, Oracle NetSuite ERP upgrades and cybersecurity.

Outlook and guidance

• Global distribution expansion through Asia Fisheries, frozen meat and food commodities offerings is expected to benefit from higher trade volumes as China cross-border trade reopens.

• Oceanus Tradelog plans to scale 3PL warehousing and logistics services over the next 2–3 years; digitalisation targets cross-border payments, trade financing and shipment tracking.

• Asia Fisheries will work with strategic partners to expand distribution and aquaculture facilities; marketplace solutions and multimedia services are also growth priorities.