Vallianz doubles net profit to $7.24 million in 2Q

Robust orderbook can the last the company up to 2018.

Offshore support and integrated marine solutions company Vallianz Holding Limited might be seeing itself up the business ladder as it continues to snatch projects and clinch contracts.

Vallianz announced today that net profit increased to US$5.8 million or $7.24 million in the last quarter, an increase of 107% from its US$2.8 million profits last year.

In a media release, Vallianz revealed that the strong bottom line performance was fuelled mainly by significantly higher revenue of US$38.6 million in 2Q2014 compared to US$4.7 million in the same quarter a year ago. Revenue was lifted by contributions from the Group’s operations in the Kingdom of Saudi Arabia, which derives charter revenue by providing offshore support vessels to customers in the Middle East.

With two consecutive quarters of profit growth, the Group’s net profit jumped by 172% to US$11.2
million for the six months ended 30 June 2014 as revenue soared to US$66.3 million from
US$7.5 million in the six months ended 30 June 2013. Charter revenue for the Group’s
young and modern vessels, which have contracts of up to five years, accounted for approximately
90% of Group revenue in 1H2014.

Here’s more from Vallianz:

Chief Executive Officer of Vallianz, Mr Darren Yeo said, “Based on the results achieved to-date and developments that are taking place, we believe this year will mark a point of inflection for Vallianz in terms of our operating performance and scale. The Group witnessed a major upswing in our financial performance in 1H2014, thanks to the positive contribution from our operations in the Middle East. As a result, our net profit for 1H2014 has exceeded the full year profit of US$10.3 million in FY2013.”

Mr Yeo added, “In the past months, we have been working on several initiatives to scale up our business operations. Besides extending our geographical reach to Latin America, the Group also entered into a collaboration agreement with Offshore Oil Engineering Co., Ltd. (“COOEC”), the largest offshore engineering group in China, to support its offshore oil and gas projects in China and Asia Pacific. COOEC is a subsidiary of China National Offshore Oil Corporation, or CNOOC.