Marco Polo Marine 9M revenue outpaces its full year revenue last year

INTEGRATED marine logistics company Marco Polo Marine's revenue for the nine months ended June 30 has since outpaced its FY2020 full-year revenue of S$30.8 million, driven by strength in both shipyard and ship chartering segments.

In a voluntary operational update filed on Monday, Marco Polo Marine said its average utilisation and charter rates for vessels has recovered to above pre-Covid levels.

The group's shipyard operations has "remained busy" with strong demand for ship repairs, benefitting from a widening customer base as well as an increased market share, it noted.

So far, about 80 per cent of its three dry docks are used. Marco Polo Marine is currently extending its Dry Dock 1 to boost its ship repair capacity by up to 20 per cent. The dock will be extended to 240m, from 150m previously.

Construction of the extension will be completed by January next year, in time to contribute to the group's second quarter FY2022 results.

Its ship chartering segment has benefited from rising oil prices and increased demand for offshore vessel support. Marco Polo Marine saw growth in utilisation rate and average charter rates for its vessels - which have both surpassed pre-Covid-19 levels - throughout the third quarter, it said.

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Chief executive Sean Lee said in a statement that the team is "cautiously optimistic" for the quarter and year to come. This is considering the macroeconomy, consumer demand and energy prices might all continue to "improve and create a favorable operating landscape for our organisation," he said

Although the recent resurgence of Covid-19 in its key markets such as Indonesia and Taiwan poses potential risks to operations, Mr Lee added that the impact of operational performance has been "minimal".

Marco Polo Marine said it will continue to explore opportunities to support the offshore wind farm market in the next year.

Shares of Marco Polo Marine fell 0.2 Singapore cents, or 7.4 per cent, to close at S$0.025 on Monday.