Ezra’s Q3 revenues surge 27% to US$402.1m

And net profit climbs 16%.

A day after closing a $520m consolidation deal with EOC Limited, Ezra Holdings reported that its Q314 revenue rose by 27% year on year to US$402.1m.

According to OCBC Investment Research, the group’s order book currently stands at US$2b, and management is cautiously optimistic that its core operating performance in FY14 will be better than that in FY13.

“Ezra Holdings reported a 27% rise in revenue to US$402.1m and a 16% increase in net profit to US$8.3m in 3QFY14, such that 9MFY14 net profit of US$34.2m accounted for 77% of our full year estimate. However, stripping out a one-off gain of US$16.6m in 2QFY14, 9MFY14 core net profit of US$18m only met 52% of our full year estimate. Gross profit margin improved from 1% in 3QFY13 to 16% in 3QFY14 (similar to 2QFY14’s 16% as well) as there were no surprises in the subsea division (which impacted earnings in 3QFY13).” OCBC noted.