Swissco swings into a $418.4m loss in Q3

Blame it on huge impairment losses.

It was a depressing quarter for marine company Swissco Holdings Ltd as it swing into a net loss of $418.4m (US$296m) from a profit of US$11.2m last year. This is due to several impairment losses totalling US$180.96m. This comprised an impairment loss on rigs of US$86.5m and on vessels of US$67.1m.

The impairment loss also include one on receivables and loan to a joint venture of US$27.4 million in 3Q2016.

Overall headline also decreased 63.5% to US$3.8m. This is because no drilling revenue was recorded in the year 2016 as the two wholly-owned rigs were off-charter since 2Q2015 and 4Q2015.

"The Group expects the market conditions in the Oil and Gas industry to remain weak in the next twelve months and there is no visibility as to when the O&G market conditions will improve," the group said.