Sembcorp Marine warns of continued losses ahead of earnings report

The offshore engineering group is set to declare a net loss for the first half of the year.

Profit losses continue for Sembcorp Marine, according to a profit guidance posted on the Singapore Exchange.

“The group expects that losses for the first half of 2021 are likely to be in the region of the full-year losses incurred for fiscal year 2020,” Sembcorp Marine said in a bourse disclosure.

It noted that its operations continue to be affected by ongoing COVID-19 disruptions, including increased manpower costs to address the skilled manpower shortage. Supply constraints have also caused further delays in the completion of its projects.

It also expects to incur additional costs due to work rescheduling, extra sub-contract work, additional material usage, and other staff turnover related costs.

Sembcorp Marine is expected to post its financial report for the first half of 2021 on 29 July 29.