Dockwise Ltd., a world leader in heavy marine transport, today publishes results for the three month period and full year ended 31 December 2010.
After a tough year, Q4 was a quarter of healthy performance. The quarter saw the successful completion of the offshore Transport & Installation project Vyborg, a USD 100 million contract, and the logistics management project Koniambo. Both projects were awarded in 2008, and contributed almost 23% of 2010 FY revenues. Other offshore / onshore projects included in the backlog are not yet in execution phase, but will start contributing as from the second half of 2011.
Spot market transport revenues were healthy through the quarter; Dockwise moved fifteen jack-up and semi submersible drilling rigs, bringing annual totals for rig moves completed and/or started in 2010 to 41. The markets for Port & Marine Industry (PMI) and for Military were slow compared to previous years and represent some 25% of 2010 total revenues, down from 37% in 2009. The main driver of demand in PMI is trade between ports, which is directly related to the macro-economic cycle and individual countries’ GDP.
Vessel utilization in Q4 2010 increased to 97% based on an assumed annual 320 sailing days (Q3 2010: 84%), half of the increase being caused by M.V. Explorer being operated by DYT. Within the quarter, the number of maintenance days was comparable to Q3 2010.
As advised in the rights issue prospectus issued 23 November 2010, Dockwise will change its utilisation assessment to a 365 days basis commencing Q1 2011. For comparison, rates quoted for previous periods will be restated.
Andre Goedee, Chief Executive Officer, Dockwise, said:
“2010 was a demanding year, but Dockwise demonstrated its resilience and we made strong progress. The Group turned in a solid financial performance in challenging markets. At an operational level, the Vyborg and Koniambo projects broke new ground in terms of the scale and complexity of the services Dockwise delivers for clients. Strategically, the decision to proceed with our new “Type Zero” vessel promises to give Dockwise a unique presence in a premium segment of the market.
With our principal client industry, oil and gas, in robust health, Dockwise is looking forward to 2011 and beyond. In the short term, we have still fully to shake off the delayed impact of the 2009 oil price slump, however longer term we are encouraged by a number of factors. Sustained buoyancy in the oil price should stimulate the demand for drill rigs for field developments, while we await the recovery in Port & Marine services which historically has followed a macro-economic upturn. Beyond this year, major offshore project activity provides an encouraging horizon.”
Source:Dockwise, February 25, 2011;