Vard's Q4 earnings more than quadruple

LEADING offshore supply vessel (OSV) builder Vard Holdings more than quadrupled its fourth-quarter net profit to 113 million Norwegian kroner (S$23.7 million) from 26 million kroner a year ago, helped by a tax write-back and a turnaround at associates.

Group revenue for the three months ended Dec 31, 2013, grew 22.5 per cent year on year to 3.09 billion kroner, on higher recognition of the group's strong order book. Vard delivered five vessels during the fourth quarter and secured contracts for three newbuildings.

However, higher material, subcontract and labour costs led to a substantial drop in margins for the group's key offshore shipbuilding segment.