PACC Offshore Services Holdings Ltd. (POSH) posted a net loss of $17.5 million for second quarter 2016 (2Q 2016) that ended June 30, compared to a net profit of $6.1 million a year ago.
Revenue was down 35 percent to $46.1 million in 2Q 2016, down from $71 million in the corresponding period last year, with the decline attributed to the challenging conditions across the industry.
Turnover of POSH’s offshore supply vessels (OSV) segment declined 38 percent in 2Q 2016 to $19.7 million, down from $31.5 million.
There was also a 37 percent decline in income from the offshore accommodation segment to $16.6 million, compared to $26.3 million a year ago as charter rate for the POSH Xanadu semisubmersible accommodation vessel upon its contract extension and lower utilization of the firm’s light construction vessels.
“Our financial performance this past quarter is a reflection of the continued uncertainty surrounding our industry. Management will focus on achieving positive net operating cash generation through cost reduction and improving vessels utilization. We are encouraged by our recent contract wins including for POSH Arcadia and eight of our offshore supply vessels,” Captain Gerald Seow, CEO of POSH, said in a press release.