On the evening of January 20, BOMESC Offshore Engineering Co., Ltd. (hereinafter referred to as “BOMESC”) issued the “2024 Annual Results Forecast Announcement”.
The announcement disclosed that BOMESC expects to realize net profit from attribution in the range of RMB90 million to RMB105 million (approximately US$12.37 million – US$14.43 million) in FY2024, which is a successful turnaround.
For FY2023, the company’s net attributable profit was RMB -75.48 million, showing a significant improvement compared to the same period of the previous year.
In addition, net profit after non-recurring gains and losses is expected to be in the range of RMB106 million to RMB121 million (US$145.6 million-US$166.3 million), which is also a similar turnaround.
According to the announcement, the main reason for the improved performance is that BOMESC has successfully secured a number of large-value contract orders and ensured sufficient orders on hand by virtue of its internationalization strategy and flexible operation strategy in the complicated market environment. In addition, the company also improved its management efficiency and profitability through the implementation of the “four first-class” strategy and lean production concept, which contributed to the recovery of its performance.
From January to December 2023, the composition of BOMESC’s operating revenue was 53.89% for the offshore oil and gas development module and 44.95% for the natural gas liquefaction module.In the first three quarters of 2024, BOMESC achieved revenues of RMB 1,758.0 million, and net attributable profit of RMB 94.52 million.
A few days ago (on January 16), Bomesc announced that it had signed a contract with STS for the construction of FPSO topside modules. The contract amount is between RMB 750 million and RMB 1 billion. The main scope of work includes the design, material procurement, and construction of the FPSO topside modules. The contract will take effect in January 2025 and is scheduled to be completed by January 2027. STS is jointly owned by the wholly-owned subsidiaries of SBM Offshore (Netherlands) and Technip Energies (France).