SIBU: Shipbuilding and repair company, TAS Offshore Bhd (TAS), hopes to secure more orders for support vessels and tugboats among others, from around the globe.
MORE VESSELS: Mohammad Sepuan says he expects more offshore support vessels to be needed as Petronas and other oil majors award contracts.
Its chairman Datuk Mohammed Sepuan Anu said yesterday the company is optimistic of this following the recovery signs in some industries as countries implement economic stimulus packages and recovery measures.
“The oil and gas industry is expected to grow due to the demand from an increase in population and better living standards.
“The current encouraging crude oil price which is moving in the range of US$73 to US$85 per barrel, is also deemed favourable for the oil majors to expand their offshore deep sea projects and production activities,” he said in his statement at the company’s inaugural annual general meeting after the listing on August 28 last year.
Mohammad Sepuan said he expected more offshore support vessels to be needed as Petronas and other oil majors award contracts.
“In addition, the demand for tugboats has increased as the mining industries in Indonesia, particularly those related to coal and iron ore, are doing well,” he added.
For its financial year ended 31 May 2010, the group achieved a net profit before tax of RM11.4 million against a revenue of RM140.2 million.
The profit after tax stood at RM8.3 million which translated into an earnings per share of five sen while net asset per share improved to 73 sen.
In view of the satisfactory result and taking into consideration the current trying economic conditions and depressed investors’ sentiments, the board has recommended a single tier final dividend of two sen per share to shareholders.
The coming financial year, Mohammad Sepuan said, would be challenging as the global recovery is still uncertain.
“We will continue to work towards securing better and more projects to translate into improved profit margins for all shareholders,” he added.
Meanwhile, managing director Datuk Lau Nai Hoh told reporters that TAS, in an effort to improve on its next bottomline, would be actively looking at new markets and opportunities.
He said its current markets included the United Arab Emirates(UAE), Singapore, Bahrain, Papua New Guninea and Indonesia.
He said the UAE had been the company’s major client accounting for RM66.2 million of the sales in its current financial year as against RM28.5 million previously.
“Singapore is our second major client.Previously its purchases were worth RM19.45million but for the current financial year, this went up to RM39 million,” he added.
Lau also said domestic buyers too had increased their purchases from only RM261,896 previously to RM3.281 million now.
Meanwhile, a UAE client is expected to take delivery of a US$10 million anchor handling tugboat this November. — Bernama