To this end, Yeo has increased his earnings estimates for the FY2026 and FY2027 by 8% and 10% to $32 million and $35 million, respectively, to account for the new AHTS vessels and ship chartering contracts. Marco Polo Marine, on Sept 17, announced that it secured $100 million worth of contracts. In that announcement, the company also stated that its ship chartering order book, as at June 30, stood at $100 million. That amount is expected to be booked across the next three years and its vessels to be deployed across Taiwan, Thailand and Europe.
The higher estimates account for strong revenue and earnings contributions, but are offset by higher interest costs, Yeo writes. Marco Polo Marine’s financial year ends in September.
As at 2.45pm, shares in Marco Polo Marine are trading 0.3 cents higher or 3.4% up at 9.1 cents, or up 82% year to date. The counter’s share price appreciation over the past three weeks is likely due to positive fund flows for small-cap Singapore counters, says Yeo.
The analyst’s target price represents an FY2026 yield of 1%. His forecasts are based on a higher fleet size, improved charter rates and stronger utilisation rates. Any underperformance would pose downside risks, Yeo adds.
