Seatrium has delivered net profit of SG$323.6 million (US$256.1 million) for the financial year ended December 31, 2025, a 106 per cent increase from SG$156.8 million (US$124.1 million) in the preceding financial year.
Seatrium said the improved performance reflects disciplined project execution as well as margin expansion driven by improved operating leverage and series-build efficiencies, sustained cost discipline, and active portfolio optimisation following the divestment of non-core assets.
FY2025 revenue rose 24 per cent to SG$11.5 billion (US$9.1 billion), from SG$9.2 billion (US$7.3 billion) in FY2024. This was mainly contributed by the oil and gas and offshore wind segments.
Seatrium said the repairs and upgrades segment, which provides a steady baseload of revenue, continues to pursue higher-value repair projects and conversions that should translate into higher margins over time.
Gross profit tripled to SG$848 million (US$671 million) in FY2025, from SG$291 million (US$230 million) a year ago. Gross margin improved to 7.4 per cent from 3.1 per cent. The margin expansion was underpinned by better project mix, improved yard utilisation, productivity gains and series build projects. The repeatability of these series build projects reduces risks and enhances cost efficiency, according to Seatrium.
Seatrium expects to realise over SG$50 million (US$40 million) in annualised cost savings from strategic divestments announced earlier that are expected to be completed by H1 2026.
The group expects to achieve annualised cost savings of over SG$100 million (US$80 million) in total by FY2028 when it completes its additional strategic divestments and the return of Admiralty Yard to the authorities.
The group’s finance expense lowered mainly due to a reduction in cost of debt, proactive refinancing, and the lengthening of its average debt maturity profile. As a consequence, net leverage ratio improved to 0.8 times.
Seatrium said it maintains a strong balance sheet with SG$3.1 billion (US$2.5 billion) in cash and undrawn committed facilities.
With active project cash management efforts supported by progressive milestone payments from customers, the group reported a 46 per cent increase in net operating cash generated to SG$142 million (US$112 million), and positive free cash flow of SG$145 million (US$115 million).
As at December 31, 2025, Seatrium's net order book stood at SG$17.8 billion (US$14.1 billion), comprising 24 projects and providing revenue visibility through to 2033. About 40 per cent of the net order book are renewables and cleaner/green solutions, which provides portfolio resilience across energy cycles, according to the company.