Seatrium (5E2) Q3 2025 TU earnings summary

Executive summary

• Maintained strong operational momentum in Q3 2025 with robust project execution, major offshore wind and oil & gas project deliveries, and enhanced efficiency through divestment of non-core assets.

• Cleared key certifications, delivered WTIB and HVAC substations, and completed 47 repairs & upgrades, including LNG carriers and FSRU conversion.

• Net order book reached $16.6 billion (S$16.6 billion), covering 24 projects with deliveries through 2031.

• Order book replenishment remains a priority, supported by a robust pipeline across oil & gas, renewables, and new energies.

• Strategic priorities include margin expansion, cost optimization, and progress toward 2028 financial targets.

Financial highlights

• Net order book stands at $16.6 billion, over 1.5x trailing twelve months revenue (excluding R&D), ensuring near-term revenue visibility.

• Gross profit margins in H1 2025 more than doubled versus H1 2024, driven by higher-margin projects and cost optimization.

• Secured new orders, including a $94 million FLNG upgrade and high-value repairs & upgrades totaling S$170 million.

• Cost of debt decreased in Q3 due to lower risk-free rates and improved credit profile, enabling lower borrowing margins.

• Completed 47 repairs & upgrades, including 12 LNG carriers and 1 FSRU conversion.

Outlook and guidance

• Market outlook remains robust, with strong pipelines in oil & gas and renewables; company well-positioned for global energy transition.

• 2028 revenue target of $10–12 billion remains on track, supported by diversified project pipeline and ongoing cost discipline.

• Management expects to continue adding to the order book as FIDs are secured, with current order book providing comfortable execution runway.

• Committed to profitable growth via series-build projects, execution excellence, and productivity improvements.

• Pursuing robust pipeline conversion into new order wins for future revenue visibility.