Triyards lands order

A Singaporean shipbuilding conglomerate has secured contracts to construct a pair of liftboats.

On Thursday Triyards Holdings said the orders are worth $112m in total but failed to shed light on the identity of the counterparties or the timetable tied to the projects.

In a statement chief executive Chan Eng Yew said the freshly minted deals serve as evidence that the appetite for his company's BH 300-L4T and BH 300 series of liftboats is on the rise.

“Demand for liftboats in Asia is expected to remain buoyant, especially with increasing acceptance of their use,” he told investors. “The demand for medium to large sized offshore support vessels should also stay healthy.”

While Triyards’ chief executive is optimistic about the future the company acknowledged that it still expects the next 12 months to be “more competitive and challenging” due to the rise of what it described as “new players” in China and other parts of Asia.

“The group is thus cautiously optimistic that it can lock in a greater share of this segment, barring any unforeseen circumstances which may arise to destabilise the current financial market and global economy,” the shipbuilder told investors in its earnings update.

The commentary came as the company reported a net profit of $21.4m for the nine months to 31 May. Revenue rose 11% year-on-year to $219.9m while earnings before interest, taxes, depreciation and amortization (Ebitda) rang it at $33.7m, which represents a gain of 13.9%.

Shares of Triyards, a spin-off of Ezra Holdings, trade on the Singapore Exchange. The shipbuilder oversees two yards in Vietnam and one in Texas but shelved plans for another in Western Australia after a potential deal fell through earlier this year.