Mermaid Maritime - Lim & Tan Securities 2024-08-28: Awaiting Earnings To Take Off

• Mermaid Maritime (SGX:DU4)’s 2QFY24 results fell short of our expectations, with revenue and NPAT coming in at US$158.0mln and US$2.8mln respectively.
• With a flat 1Q24 due to their boats being dry docked, 2Q24 results failed to impress as 1HFY24 NPAT only reached 25% of our forecast despite revenue exceeding our estimates by 6%. This significant shortfall was primarily attributed to a 134.9% increase in the cost of rendering services and we understand from Mermaid Maritime that one of their vessels, Hilong 106, incurred considerable cost of carry due to late vessel delivery to Thailand, which dragged total earnings down. Excluding this impact, Mermaid Maritime’s results would likely have met our 1H24 estimates.

Earnings forecast revision

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Above is an excerpt from a report by Lim & Tan Securities Research.
Clients of Lim & Tan Securities may be the first to access the full PDF report @ https://www.limtan.com.sg/.

Previous report by LIM:
2024-07-03 Mermaid Maritime - Mermaid ~ Seas The Day!.

Price targets by other brokers at Mermaid Maritime Target Prices.

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Relevant links:
Mermaid Maritime Share Price History,
Mermaid Maritime Announcements,
Mermaid Maritime Dividend Payout Dates & Corporate Actions,
Mermaid Maritime News