MMA Offshore (ASX:MRM), a global provider of high-spec vessels and marine services to the offshore energy sector and maritime industries, has announced that it expects its EBITDA for the full year ending on 30 June 2023 to range between $66 million and $68 million.
This represents a significant increase of over 100% compared to the previous financial year.
The business witnessed a robust second half, with several vessels operating through the traditionally quieter Southeast Asian monsoon period, leading to stronger-than-expected results. Despite four vessels undergoing dry-docking in the latter half of the year, the fleet achieved solid utilisation rates.
"Strong activity across all our key markets is driving higher earnings and returns on our assets. The current recovery in oil and gas activity combined with growth in new offshore wind markets is presenting a unique opportunity for MMA to maximise the returns from our existing business while positioning the Company for growth into the future. MMA will deliver strong earnings growth for FY2023, and we expect the current positive market conditions to continue into FY2024," stated MMA's Managing Director, Mr. David Ross.
During the second half of the year, vessel utilisation averaged 79%, up from 71% in the corresponding period of the previous year.
Furthermore, the full-year utilisation averaged 80%, up from 73% in FY2022.
The strong demand from both traditional oil and gas markets and the growing offshore wind market has played a pivotal role in driving utilisation rates and, subsequently, higher rates for MMA's assets and services.
"Our subsea division also had a strong year, delivering several substantial integrated projects across oil and gas, offshore wind, and defence and utilising a combination of our own vessels and third-party assets, which has contributed to our positive overall result," added Mr. Ross.
It is important to note that the FY2023 financial results are still subject to audit review, and the complete year-end results are expected to be released around 29th August 2023.
Mr. Ross's remarks highlight the positive momentum MMA is experiencing in various sectors. The increasing demand from oil and gas as well as offshore wind markets is fuelling the company's success and enabling them to capitalise on higher rates for their assets and services.
"The current positive market conditions provide a solid foundation for MMA's growth trajectory. We are committed to leveraging our strong performance and positioning ourselves for sustained success in the future," emphasised Mr. Ross.
MMA Offshore remains optimistic about its financial performance and is eagerly awaiting the release of the full-year results, which are expected to be disclosed on or about 29th August 2023.
