PACC Offshore sounds alarm for profit loss in 2015

Blame it on an impairment in goodwill.

PACC Offshore is bracing for profit loss this year on back of an impairment in goodwill from its 2007 acquisition of PSA Marine’s offshore business, according to a media release by the company.

The turbulent marine industry on top of uncertainty on when the market will recover reportedly prompted the company to conduct a review of the goodwill from its 2007 acquisition. 

Following the review, the company believes that an impairment of the goodwill needs to be made.

While the exact value of the impairment is yet to be determined, it is expected to significantly hurt PACC Offshore and its subsidiaries’ results both in Q4 and in 2015. 

Also, there may be an impairment in the company’s investments in its certain subsidiaries’ investments.

Until the details are at hand, PACC Offshore warns its shareholders and investors to exercise caution in dealing with company shares.