SHIPYARD operator Keppel Philippines Marine, Inc (KPMI) posted a 35% decline in net income for the first six months of the year to P229,611 from P353,436 in the same semester last year.
For the same period in review, sales revenues dropped to P982,253 from P1.194 million.
Revenues for the second quarter alone declined 19.5% to P486.5 million from the same quarter in 2009.
The poor performance was attributed the closure of the Cebu shipyard, shut since last year due to the economic crisis.
KPMI remains optimistic a rebound is likely in the third and fourth quarters with the influx of ship repair projects particularly from the local trade and partly from the international market.
“The forward stemming of vessels for repair for the third quarter this year is quite strong with major repair works coming from domestic markets and partly from foreign markets,” KPMI said in a report to the Philippine Stock Exchange.
“Stemming for the fourth quarter will be potentially coming from both foreign and domestic customers,” it added.
Ship repair revenues contributed 0.7% to total second-quarter sales and shipbuilding and fabrication, 9.3%.
Total operating profit of P120.2 million for the second quarter is a complete reversal from the P4.5-million loss in the same period last year, thanks to lower operating cost and expenses.
Investments and net interest income increased from P4.6 million in 2009 to P13.7 million in 2010 because of higher interest income from short-term investments.
