Troubled waters: Sembcorp Marine profit down 25% to $223m

Group turnover at $1,302 million was 17% higher as compared with $1,115 million in 2010 due to resumption of revenue recognition of Songa Eclipse as well as higher contributions from the ship conversion/offshore projects.

Group operating profit at $211 million was 25% lower as compared with $283 million in 3Q 2010 due mainly to margin recognition on lesser number of jackup and semi-submersible rig projects, as nine of the thirteen new jack-up rigs secured since the fourth quarter of last year are still in the planning stage.

At pre-tax level, Group profit at $275 million was 22% lower as compared with $355 million for the corresponding period in 2010. Group net profit, excluding non-operating items at $223 million was 9% lower than $243 million for the corresponding period in 2010.