VARD eyes diversification as red ink sinks in

Offshore shipbuilder and designer VARD is looking to diversify its business in order to reduce its offshore market dependency during industry downturn that dragged the company’s 4Q 2015 results down. 

With its core market for offshore oil and gas related vessels showing continued signs of weakness in the short term, VARD said on Monday it would be focusing on other engineering and technology-intensive parts of the shipbuilding market.

The shipbuilder said it aims to preserve its core expertise and employee base during the downturn, and utilize its existing yard capacity until an eventual recovery in its core market.

Roy Reite, Chief Executive Officer and Executive Director of VARD, commented, “The Group’s efforts to diversify are well underway, and we believe that we are on the right track to recovery. If we succeed with our plan, VARD will not only be able to emerge from this downturn, but come out stronger and armed with new skills and capabilities.”

The company on Monday posted a loss for the period of NOK 170 million for the fourth quarter of 2015, compared to a profit of NOK 20 million in the same period of 2014.

VARD’s operating profit decreased from NOK 85 million in 4Q 2014 to an operating loss of NOK 67 million in 4Q 2015.

In addition, the shipbuilder posted a drop in revenues as the company’s 4Q 2015 result amounted to NOK 3.3 billion, while the 4Q 2014 revenues were NOK 4.5 billion.

Offshore Energy Today Staff

Share this article

Follow Offshore Energy Today

Posted on February 29, 2016 with tags , .

Events>

<< May 2019 >>
MTWTFSS
29 30 1 2 3 4 5
6 7 8 9 10 11 12
13 14 15 16 17 18 19
20 21 22 23 24 25 26
27 28 29 30 31 1 2

08th OIL & GAS AFRICA 2019 CONFERENCE

OIL & GAS AFRICA is one of the most prime regional & international Oil and Gas conferences in East Africa…

read more >

FPSO Brazil Congress 2019

Charging ahead with 24 planned orders by 2022, Brazil has once again solidified its status as one of the world’s foremost oil and gas leaders…

read more >

OWI WA 2019

West Africa’s only dedicated Offshore Well Intervention Conference is returning for its second year…

read more >

OIL & GAS PHILIPPINES 2019

Oil & Gas Philippines event display products like Oil & gas, fire protection systems and materials…

read more >

Jobs>

Looking to fill a job opening?

By advertising your job here, on the homepage of OffshoreEnergyToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply

Looking to fill a job opening?

By advertising your job here, on the homepage of OffshoreEnergyToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply

Looking to fill a job opening?

By advertising your job here, on the homepage of OffshoreEnergyToday.com, you'll reach countless professionals in the sector. For more information, click below...

apply