Mermaid Maritime has reported earnings of US$14.2 million ($19.09 million) for the FY2024 ended Dec 31, 2024, up 43.6% y-o-y.
Earnings per share for the period came in at 0.68 US cents per share.
Revenue for FY2024 came in 86.4% y-o-y higher at $513.3 million.
The revenue growth was due to the growth in all service sectors which were subsea inspection, repair and maintenance (IRM) services, cable laying services and subsea transportation and installation (T&I) and decommissioning services.
Subsea group and the group reported cost of rendering of services for FY2024 of US$475.1 million, an increase of 95.8% y-o-y.
The increase was due to the growth in all service sectors. However, the cost of rendering of services accounted for 92.6% and 88.1% of total revenue for FY2024 and FY2023 respectively.
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The increase in percentage of cost of rendering of services to the total revenue mainly came from higher project costs for T&I and decommissioning services and higher dry-docking costs and repair and maintenance costs for subsea IRM services during the year.
Gross profit for FY2024 grew 16.8% y-o-y to US$38.2 million, due to an improvement in gross margin of cable laying service and other subsea IRM service.
However, the gross margin from T&I and decommissioning services was lower when compared to the previous year as a result of higher project costs while subsea IRM owned vessels generated a gross loss compared to a gross profit of the previous year due to drydocking costs and repair & maintenance costs that occurred in FY2024.
The group reported reversal of impairment losses on property, plant and equipment for FY2024 of US$9.9 million. The impairment losses on two owned Subsea vessels were reversed as the recoverable amounts of these vessels, determined as the higher of fair value less costs of disposal and value in use, exceeded their carrying amounts impaired in prior periods.
As such, the group reported net profit for FY2024 of US$14.2 million. However, the net profit for FY2024, excluding the reversal of the impairment loss would be US$4.3 million, representing a decline of US$5.1 million compared to FY2023.
This decrease was primarily due to higher cost of rendering of services, increased administrative expenses and finance cost, and a lower share of profit from joint ventures as described above.
No dividend has been declared for the year.
Shares in Mermaid Maritime closed 0.1 cents lower or 0.730% down at 13.6 cents on Feb 27.
