13th Nov 2014 08:26
LONDON (Alliance News) - James Fisher & Sons PLC on Thursday said it was trading in line with its expectations as it posted revenue growth in the third quarter year-on-year.
The FTSE 250-listed marine services company said its offshore oil business performed well in the quarter, with continued growth in Africa, South America and the Far East offsetting weaker trading in its Norwegian operation. The Norwegian business is mostly focused on maintenance and production activities rather than exploration.
The group said the recent decline in the oil price has not impacted trading in the offshore oil arm and said it expects revenue for the unit to be significantly higher year-on-year.
Its marine support arm saw ship-to-ship transfer volumes slow in the third quarter, having seen an improvement in the second quarter. The Far East market was the primary culprit for the slowdown, with weaker broader economic conditions in the region and high inventory levels of oil in storage afloat and onshore.
The specialist technical business continued to trade strongly in the third quarter, James Fisher said, with a bright outlook for the unit given the addition of the large and more diverse order took for nuclear decommissioning.
The tankships arm continued to progress in the quarter and is benefiting from improved utilisation in comparison to 2013, the company said.
The group said it remains well positioned for the rest of the year and expects its solid third quarter performance to continue into the fourth quarter.
James Fisher shares were up 2.1% to 1,196 pence in early trade Thursday, one of the best performers in the FTSE 250.
By Sam Unsted; [email protected]; @SamUAtAlliance
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