October 10, 2013

TAS Offshore Foresees Bright Future in The Next Two Years

With current contracts on hand amounting to about RM402 million, TAS Offshore Bhd, one of Sarawak's leading shipyards, is positive of good profits for its 2014 and 2015 financial years.

It had another successful financial year ended May 31, 2013 when it posted a revenue of RM138 million, up RM36million or 35 per cent as compared to the RM102 million achieved previously.

In a statement at its sixth annual general meeting here Wednesday, Executive Chairman Datuk Lau Nai Hoh said pre-tax profit improved by RM1.30 million to RM16.7million.

"Profit after tax rose to RM13.5 million, an increase of RM2.3 million or 20 per cent compared to the RM11.2 million reported in the last financial year.

"The improvement in performance is largely due to the increase in the sale of anchor handling tug supply vessels which carry higher sales value and thus better profit figures," he said.

Lau added the result had allowed the company to register a better earnings per share of 7.65 sen and to increase net asset per share to 84.58 sen compared to the corresponding figures of 6.34 sen and 78.52 sen recorded previously.

TAS had, in its last financial year, delivered a total of 15 vessels to customers in Indonesia, the United Arab Emirates, Singapore and Papua New Guinea, he said.

They comprised 12 tugboats, one harbour tug, one landing craft and one anchor handling tug supply vessel.

Meanwhile, he said the expected growth in overall demand for oil and gas, driven by the growth in population and better living standards together with the high resilient crude oil price of U$100 per barrel, had continued to spur oil majors to increase their offshore deep-sea exploration and production activities.

"This translates to greater demand for offshore support vessels especially those with higher technical specifications suitable for deep-sea operations.

"TAS is already moving along this direction and we will expand our built-for-sale activities," he said.

Lau said the contracts secured by those in the industry indicate the demand for such vessels is still positive, adding in the coming years, TAS would seek to enhance its market share growth by focusing on shipbuilding activities.

Source: Bernama