Netincome for the first three months of 2014 was NOK 85m ($14m) versus the NOK180m seen twelve months earlier.

The Singapore-listed company said revenuesdipped 2.7% to NOK 2.67bn, while ebitda declined 43.8% year-on-year to NOK171m.

However,the company was upbeat over future prospects after a first quarter order haulthe company itself described as “exceptional”.

Vardsecured newbuilding orders for eight vessels during the quarter worth NOK5.5bn, which took its orderbook to a five-year high of NOK 21.8bn.

Theorder intake included an arctic anchor handler for Bourbon, an subsea constructionvessel for Solstad Offshore, a diving support and construction vessel for Technipand three PSVs, two of which were for Mermaid Marine Australia.

Vardsaid it expects continued strong demand from the subsea support andconstruction vessel segment, despite concerns over rising production cost inthe oil & gas industry.

“Wehave had a promising start to the new year,” Vard Holdings chief executive RoyReite said in a statement.

“We are excited for the upcoming projects in2014 and are confident of building upon our solid fundamentals to tap on futuregrowth opportunities.”