Golden Energy Offshore Services is trumpeting a bright future, but in the meantime has to cope with rising expenses from a growing fleet.
The Norwegian offshore vessel owner said revenue skyrocketed by 189% year over year, hitting NOK 136m ($12.9m) in the second quarter as its fleet swelled to seven platform supply vessels and utilisation came in at 92%.
Expenses also shot up, from NOK 26m in the second quarter last year to NOK 77.5m this year thanks to the addition of four PSVs from Vroon for $95m.
“The first half of 2024 has brought its share of challenges, but thanks to our collective efforts and favourable market shifts, we are now seeing tangible results from our expansion,” chief executive Per Ivar Fagervoll said.
“Despite a slow start to the year, characterised by high availability and low utilisation, we managed to turn things around. Tender activity, both short-term and long-term, increased significantly, allowing us to secure several contracts at very attractive rates during the first half of the year.
“Most of these contracts commenced in the second quarter, significantly boosting our operational activity and financial performance.”
Fagervoll said increasing secondhand values were lowering the Alesund-based company’s loan-to-value and its modern fleet has positioned it for new opportunities.
Golden Energy’s average time charter equivalent rate for the second quarter came in at NOK 226,400, up from NOK 176,900 a year earlier.
Its contract backlog at the end of the first half stood at NOK 327m, up from NOK 95.2m a year earlier and NOK 230m at the end of 2023.
During the quarter, the company secured three short-term contracts worth $10.8m total.
It said one of those vessels — the 10,200-bhp Energy Swan (built 2005) — had earned a new contract for 100 days with a 60-day option.
No day rate was given.
