ASL Bags New Shipbuilding Contract
By Aiswarya Lakshmi
August 28, 2015
Singapore’s ASL Marine Holdings Ltd said that its wholly-owned subsidiary, ASL Shipyard Pte Ltd has clinched shipbuilding contracts worth approximately SGD140m ($100m) for the construction of a series of tugs and barges.
ASL said the vessels will be designed and built for overseas customers engaged in the mining and marine infrastructure industries. The newbuildings will be constructed at the group’s shipyards in Singapore and Indonesia.
Revenue from these new shipbuilding contracts will be recognised over the respective contract period in accordance with the Group’s revenue recognition policy basing on the percentage-of-completion method.
These contracts are not expected to have a material financial impact on the net tangible asset and earnings per share of the Group for the financial year ending 30 June 2016.
The new shipbuilding deals followed ASL Marine’s 2015 financial year ended 30 June 2015 results announcement, where the company recorded lower earnings compared to the previous financial year.
As at 30 June 2015, the group had an outstanding shipbuilding orderbook of around SGD356m for 20 vessels, comprising of AHTS vessels, tugs, barge, seismic support vessel and tanker. They will be progressively delivered up to the first quarter of financial year 2018.
