Post Reply
1-20 of 4712
Uneventful 1QFY2026 anchors analysts&rsquo views on Seatrium
Multiple analysts have mostly maintained their confident outlook in offshore and marine giant Seatrium after an uneventful first quarter in which the company didn&rsquo t garner any new significant contract wins, but continued its steady execution of projects and balance sheet strengthening while hunting a pipeline of around $30 billion in opportunities.
In a business update on May 29, Mainboard-listed Seatrium reported a net order book of $15.5 billion across 24 projects with deliveries through 2033. For reference, Seatrium&rsquo s order book was $17.8 billion as at Dec 31, 2025, implying that more than $2 billion in revenue was recognised during 1QFY2026 ended March 31. In addition, the firm won major contracts including Kaskida floating production unit and Balwin 5 in 4QFY2025.
UOB Kay Hian (UOBKH) analyst Adrian Loh maintains his &ldquo buy&rdquo rating and $3.15 target price in his June 2 report. Describing Seatrium&rsquo s 1QFY2026 as &ldquo solid&rdquo , Loh notes management&rsquo s guidance for higher gross margins due to a better project mix and completion of non-core divestments.
He sees room for growth for earlier gross margin estimation of 7.5% and expects the current energy shock to reinforce energy security concerns and longer-term offshore energy investment, which could benefit Seatrium.
To Loh, Seatrium is a contender for major energy projects in the offshore space. &ldquo Seatrium&rsquo s four TenneT offshore platform projects and the heavy-lift vessel for Penta-Ocean are strong proof points that the company should be in the conversation for any major offshore wind tender in the EU.&rdquo
Buoyant repairs and upgrades
For Maybank&rsquo s Hussaini Saifee, while large project awards remain lumpy, he sees a bright spot in Seatrium&rsquo s repairs and upgrades which could throw a positive surprise. Repeat business remains strong, defence-related work is meaningful, and rig refurbishment remains active across Brazil, Singapore and Asia-Pacific, notes Hussaini in a June 1 report.
He also thinks that conversions of floating storage and regasification units and floating liquified natural liquified gas vessels appear to be gaining strategic relevance, supported by energy security, faster time-to-market and LNG infrastructure needs.
Similar to Hussaini, Ho Pei Hwa from DBS Group Research is positive on the repairs and upgrades segment in her May 29 report. She believes that the company is reinforcing its position in LNG and gas infrastructure conversion solutions with Seatrium securing its eighth FSRU conversion project from Karpowership.
Contract wins as price catalyst
Contract wins is emerging as a common theme as a price catalyst for the counter across most analyst reports. Ho, for one, writes that contract flows remain the key catalyst with the absence of major sizeable projects during the first five months of the year indicating that contract flow has been relatively slow.
Despite slower contract wins, Ho holds an overall constructive contract win outlook as Seatrium could potentially benefit from the emerging global offshore reinvestment cycle. Ho values Seatrium at unchanged $3 and reiterates her &ldquo buy&rdquo call. in her May 29 report.
Meanwhile Hussaini sees customers still exercising discipline on capex and final investment decision (FID) timing which is outside of Seatrium&rsquo s control. As such, material order conversion will likely be more visible only in 2HFY2026 and FY2027. He maintains both his &ldquo buy&rdquo call and $3.10 target price.
Similarly, CGS International&rsquo s Lim Siew Khee and Meghana Kande believe that orderbook replenishment is crucial to meeting 2028 &ldquo steady-state&rdquo targets of $10 billion to $12 billion revenue, an ebitda of over $1 billion, a return on equity (ROE) of over 8% and a net debt to ebitda of 2.0 to 3.0 times.
Lim and Kande note that Seatrium has lowered its tender pipeline to $28 billion from $32 billion q-o-q. This is due to Petrobras awarding the SEAP 1 FPSO project to SBM Offshore under a build, operate and transfer (BOT) model, instead of Seatrium&rsquo s strength in engineering, procurement, construction and commissioning (EPCC).
With five months passing in 2026 and no major contract wins, Lim and Kande decrease their order win forecast from $6 billion to $4.3 billion for FY2026 and trimming FY2027-2028 forecast earnings per share by 2-3%. They maintain their &ldquo add&rdquo rating at a lower target price of $2.84, valuing the company at 1.2 times forecasted FY2026 P/B in their May 29 note.
Index break 5100, this hopeless counter still below 0.11 pre-consolidate price. weak CEO, weak orderbook, weak margin. 
Yes, where are the new orders...no point talking about market opportunities if it cannot win orders..
Guzman ( Date: 03-Jun-2026 07:53) Posted:
|
Huat Arhh.....
luckyboy22 ( Date: 03-Jun-2026 09:07) Posted:
|
HUAT AHHHH!!!!!
luckyboy22 ( Date: 02-Jun-2026 16:52) Posted:
|
They however have the series build with P83-85 for e.g. which are the big ticket contracts
Speediman ( Date: 02-Jun-2026 22:44) Posted:
|
If one tracks the order book of Seatrium, it has been dropping from $22B about 1.5 years ago to $15.5B today. Orders fulfilled and delivered but new orders trickled in slowly. If not for the aggressive cost cutting and divestment by Management, Seatrium would be struggling. The outlook is dimmed. Not easy for a Singapore marine player to find its footing in this competitive market.
Seatrium has a long and complex history with Petrobras, primarily stemming from high-profile corruption scandals and recent financial disputes over decades-old contracts
Not winning the project is no loss but a plus for Seatrium!
Not winning the project is no loss but a plus for Seatrium!
n3wbie ( Date: 02-Jun-2026 22:25) Posted:
|
Thanks for sharing. Disappointing that STM dint get this one given that Petrobras is a longstanding customer but I guess concentration risk?
Tob231 ( Date: 02-Jun-2026 20:57) Posted:
|
juz hope got more eprojects win lor
then price shoot up up de
then price shoot up up de
The four-way bidding race for a Petrobras flotel (offshore accommodation vessel) contract in Brazil ended with an incredibly tight finish, as the winning bidder secured the work by a margin of just $1,000
The victor in this closely contested tender is OOS International, a prominent player in offshore accommodation
https://www.upstreamonline.com/exclusive/four-way-race-in-petrobras-tender-ends-with-narrow-1000-margin-victory/2-1-1997136
The victor in this closely contested tender is OOS International, a prominent player in offshore accommodation
https://www.upstreamonline.com/exclusive/four-way-race-in-petrobras-tender-ends-with-narrow-1000-margin-victory/2-1-1997136
You mean crashed?😭
eugesun ( Date: 02-Jun-2026 18:05) Posted:
|
tomorrow will be better price... 😂
geographic ( Date: 02-Jun-2026 17:18) Posted:
|
Seatrium follow the Every Day Low Price EDLP strategy akin to Walmart to entice investors. Smart move.
geographic ( Date: 02-Jun-2026 17:08) Posted:
|
You really lucky. Huat big time.Buy more win more.
luckyboy22 ( Date: 02-Jun-2026 16:52) Posted:
|
Managed to get another 10 more at 2.08...hahaha!
geographic ( Date: 02-Jun-2026 16:21) Posted:
|
Nvm, dropped more buy more. This share is for long term. Now price super cheap. Without 20-1 it is equal to only $0.1035.
luckyboy22 ( Date: 02-Jun-2026 15:30) Posted:
|
Bought oredi and kena trapped hahahaaaaaaaa
geographic ( Date: 02-Jun-2026 13:31) Posted:
|
Last chance to buy at such discounted price.
Seatrium posts S$15.5 billion net order book as at end-March
It comprises of 24 projects with delivery dates till 2033
[SINGAPORE] Seatrium : 5E2 +1.84% reported a net order book of S$15.5 billion across 24 projects as at its first quarter ended Mar 31, 2026, with delivery dates till 2033.
According to the business update released on Friday (May 29), during the period, two legacy projects &ndash the trailing suction hopper dredger Frederick Paup to Manson Construction and the wind turbine installation vessel Maersk Viridis to Maersk Offshore Wind &ndash were delivered.
These took place while ongoing projects continued to advance in line with expectations.
Seatrium also completed 46 vessel repairs and upgrades during the quarter, comprising one floating storage regasification unit (FSRU) conversion, five liquefied natural gas carriers, seven cruise vessels, 10 offshore vessels and four naval vessels.
Chris Ong, CEO of Seatrium, said: &ldquo We continued to carry the momentum gained in FY2025 into the new financial year with steady project execution and margin improvements. With the completion of our announced divestments, we are well-positioned to deliver further gross margin improvements.&rdquo
The group stated that its gross margin strengthened.
&ldquo Gross margin continued to strengthen due to improved project mix lower overheads partly contributed by the completed divestments and lower general and administrative expenses resulting from rigorous risk management, productivity gains and cost control initiatives,&rdquo Seatrium said.
&ldquo The improving metrics reflect stringent contract selectivity with a preference for series-build projects with progressive milestone payments, pricing discipline and project governance,&rdquo the company added.
It also said that its balance sheet remained strong, and that it has made progress in proactively managing its borrowings.
Seatrium noted that it secured its eighth FSRU conversion project, LNGT Karadeniz, from Karpowership, during the first quarter.
This represents the first of three FSRU conversion projects under an earlier letter of intent, which also covers the integration of up to six new-generation powerships.
Pipeline opportunities over the next 24 months are estimated at more than S$28 billion, distributed across oil and gas, offshore wind and conversions.
Seatrium said that while elevated oil prices provide a supportive environment for offshore energy infrastructure investments, any increase in project sanctions or order wins is expected to materialise progressively due to capital discipline among customers.
Shares of Seatrium closed 1.4 per cent or S$0.03 lower at S$2.17 on Thursday.