MAINBOARD-LISTED Sembcorp Marine (Sembmarine) on Wednesday morning gave notice of recording three consecutive years of pre-tax losses based on its audited full-year consolidated accounts.

 

The marine and offshore engineering group' s six-month average daily market cap as at March 30 was S$1.89 billion, which means the group still meets the financial entry criteria to avoid being placed on the Singapore Exchange' s (SGX) watch list.

 

Firms are placed on the SGX watch list if they record losses for the three latest consecutive financial years and have an average daily market cap of under S$40 million over the last six months.

 

Prior to its announcement, Sembmarine had ended Tuesday at a two-month high of 17.1 Singapore cents, up a cent or 6.2 per cent the day after it said it clinched a £ 600 million (S$1.12 billion) UK wind farm contract together with GE Renewable Energy' s Grid Solutions.

 

For the full year ended Dec 31, 2020, the group' s net loss had widened to S$582.5 million from S$137.2 million a year ago. This brings its loss per share (LPS) for FY2020 to 10.88 cents, from a restated FY2019 LPS of 6.32 cents.

 

The group attributes its FY2020 loss mainly to Covid-19, which contributed to delays in projects execution and securing of new projects higher overall costs incurred for all projects as well as S$144 million of asset impairments and provisions.

 

No dividend was proposed for the financial year.

 

Last year, Sembmarine also issued notice that it had recorded pre-tax losses for three consecutive years. Its six-monthly average daily market capitalisation at the time was S$2.46 billion as at April 2, 2020.