NET income at shipyard operator Keppel Philippines Marine, Inc (KPMI) and its subsidiaries plunged 71.2% to P52.93 million in the first quarter of the year from the same period last year.
Sales revenues of P505.96 million were, however, 2.06% higher than last year’s P495.70 million.
Earnings from the shiprepair business contributed 87.06% to total revenues and the shipbuilding and fabrication sectors, 12.94%.
Operating profit for the first quarter amounted to P59.19 million, 51.88% less than last year due mainly to lower overall volume of business and lower margins for shiprepair.
“The demand for shiprepair markets for both local and foreign vessels will continue to be weak as a result of a weak shipping market,” KPMI said.
“There are various potential inquiries that could fill in the docking program for the third and fourth quarters 2011 for both local and foreign customers, which we are closely monitoring and endeavoring to secure.”
Keppel Batangas Shipyard completed jobs on 27 vessels for the first quarter of the year which brought in revenues of P276.48 million. This compares with last year’s P404 million which saw more high-value jobs.
In the area of shipbuilding, the shipyard completed construction of the floating crane barge, recording revenues of P6.12 million, 93.33% less than what was posted last year due to fewer contracts.
Subic Shipyard Engineering, Inc (SSEI) completed repair jobs on 12 foreign vessels for the first quarter and contributed revenues amounting to P164 million.
In shipbuilding, SSEI completed the construction of a floating transshipment barge that brought in earnings of P59.36 million.
