Mermaid Maritime profits drop 53.3% to US$3.6m

Its US$98.6m net order book is a record low for the company.

Mermaid Maritime (Mermaid) struggles to surface after its net profits dropped 53.3% YoY to US$3.6m in Q2.

According to a DBS Equity Research review, company revenue fell 10.4% to US$44.5m.

Mermaid’s four key vessels recorded utilisation of 73% for the quarter, 66% higher YoY.

Mermaid’s order book also fell 34% QoQ to US$98.6m, a new low for the company.

DBS analysts Suvro Sarkar and Glenn Ng commented, "While continued deferment of Inspection, Repair and Maintenance (IRM) work by oil majors is one reason, we cannot discount the effects of stronger competition from increased tonnage in the region."

One of its Indonesian-flagged chartered-in vessels Nusantara was also returned due to "weak market conditions."