Nam Cheong Q4 losses narrow to RM5.6m

NAM Cheong posted a net loss of RM5.6 million (S$1.8 million) for the fourth quarter from a wider loss of RM21.5 million a year ago. The offshore marine firm's revenue for the three-month period halved to RM120.3 million from RM241.8 million with the chief culprit being a 52 per cent revenue drop in the shipbuilding segment due to reversal of revenue from Perdana Petroleum Berhad's cancellation of a second accommodation work barge.

Accordingly, it reported a loss per share of 0.27 sen for the period under review versus a loss of 1.02 sen a year ago.

For the full year ended December 2016, it made a net loss of RM42 million from a profit of RM28.5 million in 2015 on the back of a 82 per cent drop in revenue to RM170.4 million.

The lower revenue was attributed to fewer number of vessel deliveries and lower utilisation rate in the vessel chartering segment over the period.

No dividend was recommended for the period, unchanged from the previous year.