*Platinum Member*
Posts: 42839
Liked By: 28446
Joined: 03 Dec 06
Followers:
7
Tipsters
Championship:
Player
has
not started
|
The slump in crude oil prices and a projected oversupply in rigs may weigh on rig builder Keppel Corp, but its yards will be kept busy this year and the next, it said yesterday.
Global consumption of energy is likely to grow, which will sustain its oil and gas business, it added in a statement.
The group issued the forecast as it posted a strong set of fourth-quarter results. Net profit for the three months to Dec 31 climbed 6.1 per cent from the preceding year to $725.9 million, it said in a Singapore Exchange filing. This was on the back of a 9.1 per cent jump in revenue to $3.93 billion. That increase was largely due to higher revenue recognition from ongoing projects at Keppel's offshore and marine division.
The group's property arm also reported slightly higher turnover, mainly from China and the sale of a residential development in Jeddah, Saudi Arabia.
Keppel noted in its statement that the recent sharp drop in crude oil prices, an expected reduction in global oil and gas upstream spending and a projected oversupply of oil rigs have led to a "challenging environment".
The price of benchmark Brent crude oil traded in London has fallen from a peak of US$115 a barrel in June last year to around US$50 a barrel yesterday. Cheaper crude translates to lower revenue for oil producers, which may lead them to buy fewer oil rigs.
However, Keppel said that its offshore and marine division has a healthy order book that will keep its yards busy this year and next year. Its net order book at the end of last year stood at $12.5 billion with deliveries extending into 2019. The group's net profit for the full year rose 2.1 per cent to $1.88 billion while revenue gained 7.3 per cent to $13.28 billion.
Earnings per share for the fourth quarter came in at 39.9 cents, up from 38 cents the previous year. Net asset value per share rose from $5.37 at the end of 2013 to $5.73 as at the end of last year.
The group proposed a final cash dividend of 36 cents a share.
Speculation has been rife that Keppel may announce a deal with Keppel Land today, with one possibility being that it may take Keppel Land private. This was after trading in both companies' shares was halted from Wednesday morning. Their results briefings were also postponed to this afternoon.
Keppel Land shares closed at $3.65 on Tuesday, their highest since November 2013. Keppel Corp ended eight cents down at $8.10 on Tuesday.
|
Main Menu >
Stocks, FX, Cryptocurrencies & Commodities Forum >
kepp corp
[ 176 Chatters Online
]
1
) 
Find all Topics Started by XXadidasXX
Find all Posts by XXadidasXX
Follow / Unfollow
PM XXadidasXX
12-Jan 2015 Monday
5:55 PM (3394 days ago)
0 Likes
Like
