LUXURY yacht builder Grand Banks Yachts : G50 0% on Tuesday (Feb 13) posted a net profit of S$6.9 million for the first half ended Dec 31, 2023, climbing 91.7 per cent from S$3.6 million in the corresponding year-ago period.

This was driven by increased boat-building activities at the group’s Pasir Gudung manufacturing yard in Johor, Malaysia, as well as higher sales.

The increased profit translated to H1 FY2024 earnings per share of S$0.0375, up from S$0.0196 in H1 FY2023.

Revenue for the period came in at S$65 million, 29.5 per cent higher year on year from S$50.2 million.

The group has declared an interim dividend of S$0.005 per share for the period, its first interim dividend since 2008.

Grand Banks Yachts secured 11 new boat orders during this period, similar to H1 FY2023.

GET BT IN YOUR INBOX DAILY

Start and end each day with the latest news stories and analyses delivered straight to your inbox.

Sign UpVIEW ALL

In its financial results, the group said its net order book of S$137.3 million as at Dec 31 and “robust” balance sheet will also serve as a “strong buffer” against near-term economic and business uncertainties.

It has cash and cash equivalents of S$42.8 million as at Dec 31.

The group remains confident of the long-term growth prospects of the luxury motor yacht market, due to healthy visitor volumes at roadshows and a bigger customer base.

The yacht maker is currently expanding its manufacturing yard to meet anticipated demand, with the expansion projected to lift production capacity by 25 per cent.

Chief executive Mark Richards said: “The expansion at our Pasir Gudang yard will enhance our manufacturing capabilities and help us achieve faster delivery times.”

“On the sales and marketing front, we are developing our service yard in Stuart, Florida, United States to provide better after-sales services, in order to cement our presence in the US, our main market,” he added.

Shares of Grand Banks Yachts closed at S$0.30, up S$0.005 or 1.7 per cent.