Nautilus Marine Services Annual Loss Widens On Higher Costs

14th Mar 2018 15:49

LONDON (Alliance News) - Nautilus Marine Services PLC on Wednesday reported a widened annual pretax loss mainly due to depreciation costs arising from acquisition 12 offshore service vessels in February and higher operating and administrative costs.

The company, which is focused on acquiring distressed offshore oil and gas service assets, recorded a pretax loss of USD8.8 million for 2017, compared with a pretax loss of USD6.2 million in the prior year period. Revenue, however, rose 40% to USD250,000 from USD178,000.

The widened loss was attributed to USD1.8 million depreciation charges and increase in operating expenses to USD3.7 million from USD489,000. Administrative expenses, including wages and salaries, rose to USD6.3 million from USD6.1 million.

"The group's activities during 2017 successfully rebranded it as an offshore service provider and established the necessary foundations for growth. Management believes that in 2018 Nautilus will take significant steps towards its ultimate objective of building an international offshore service group," said Chairman Mikel Faulkner.

"Nautilus will continue its efforts to identify profitable companies, innovative technologies and distressed assets. These synergistic pairings are expected to provide revenue growth as the offshore industry recovers. Simultaneously, Nautilus hopes to expand the geographic footprint of the group, leading to further growth in value," Faulkner added.

Shares in Nautilus Marine Services were 8.6% up at 9.50 pence in afternoon trade. The company was formerly called Global Energy Development PLC and was focused on oil and gas exploration.

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