Ezion's Q3 hit by margin squeeze

Singapore

SERVICE jack-up operator Ezion Holdings posted a 38.4 per cent decline in third-quarter net profit to US$30.3 million on a sharp decrease in gross profit reflecting margin compression under a depressed oil and gas price environment. Earnings per share were 1.92 US cents compared with 3.63 US cents a year ago.

Gross profit plunged 48.4 per cent to US$24.96 million on the back of a 31.8 per cent hike in cost of sales to US$61.26 million attributed to the deployment of additional service jack-up rigs. Revenue was down 9.1 per cent at US$86.22 million.