Prospects rosy for ASL

Singapore-based ASL Marine Holdings Ltd. posted 23.7% increase in revenue to S$193.4 million ($136.7 million) on the back of higher value shipbuilding projects and increase in ship repairing and conversion jobs during the first half ended 31 December, 2007. ASL’s total gross profit rose 48.5% to over S$36 million ($25 million) due to higher margins recorded by its shipbuilding and ship repair operations.

Shipbuilding operations standing at over S$117 million (S$83 million) contribute more than half of the company’s total revenue of S$193 million ($136 million) during the six months to end of December. ASL has an order book of over S$609 million ($431 million) for the construction of offshore support vessels, offshore construction vessels, tugs, barges, a water injection dredger and other vessels. In addition, the shipbuilding division has secured newbuild contracts for four vessels worth S$51 million ($36 million) since the beginning of this year. Another seven offshore support vessels (OSVs) worth S$31 million ($22 million) are to be constructed for the company’s ship chartering division.

ASL expects to benefit from the newbuilding activity undertaken by offshore operators to replace the aging OSVs and the healthy demand for OSV charters to support the boom in the oil and gas sector.