Sembcorp Marine Stock Earnings Reports

Seatrium reported a solid H1 2026 with revenue rising ~5% to $5.6bn and underlying net profit (excluding one‑off divestment gains) up 54% to $212m, reflecting gross margin expansion to 8.6% (from 7.4%) and ongoing cost discipline. Including divestments, NPAT was $373m. The net order book is healthy (~$13.0–13.3bn) with 24 project deliveries through 2033 and >95% series‑build content, while the company is tracking a global opportunity pipeline of ~$32bn across oil & gas, gas conversions (FSRU/FLNG) and offshore wind. Management is shifting emphasis from recovery to value creation — prioritizing margin improvement, cash generation and scaling series builds and adjacent services. Structural cost savings from recent divestments target a $50m annual run rate (full run‑rate benefits expected from H2/2026), and divestments also unlocked cash ($167m). Balance sheet and liquidity strengthened: $3.4bn cash and undrawn facilities, net leverage ~0.5x, and a $3bn multicurrency debt program launched with an inaugural $400m senior unsecured note (2031) priced at 2.95%, which management cited as evidence of market confidence. Operationally, key FPSOs (P80, P82, Sparta) are on track for sailaway in H2 2026; the group continues to pursue large full‑scope FPSO EPCC tenders (Brazil), multiple FSRU/FLNG conversion opportunities, and longer‑term offshore wind opportunities (HVDC/HVAC platforms). Shareholder returns: $100m buyback nearly complete ($90m repurchased) and a new program is intended after completion. Management expects stronger full‑year 2026 performance and remains focused on achieving FY2028 steady‑state targets (annualized revenue $10–12bn, ROE >8%).