Beng Kuang Marine Limited (SGX: BEZ) has released its 3Q2026 Business Update for the three months ended 30 September 2026, highlighting improved profitability, margin recovery and continued execution of its secured offshore lifecycle projects.

The Group recorded profit attributable to shareholders (PATMI) of S$4.24 million, representing a 174.6% year-on-year increase, supported by stronger operating performance and the first full quarter of 100% ownership of Asian Sealand Offshore and Marine Pte Ltd (ASOM).

Key highlights of the business update:

• Improved Financial Performance: Revenue increased 10.1% year-on-year to S$28.6 million, while profit before tax (PBT) rose 15.1% to S$5.20 million. PATMI increased 174.6% to S$4.24 million, exceeding the S$3.54 million recorded for the entire first half of 2026.

• Strong Margin Recovery: Gross profit margin improved to 38.1%, compared with 36.0% in 3Q2025 and approximately 26.0% in 2Q2026. EBITDA margin, excluding other gains and losses, reached 22.8%, reflecting improved project execution and a more favourable business mix.

• 9M2026 Earnings Growth: PATMI for the nine months ended 30 September 2026 increased 73.9% year-on-year to S$7.78 million, already exceeding the Group's full-year FY2025 PATMI of S$5.33 million by approximately 46%.

• Offshore Lifecycle Services Momentum: The Group secured S$112.4 million in contracts and orders during 9M2026, with S$59.8 million of contracted work remaining as at 30 September 2026. Its offshore lifecycle services footprint spans 19 Floating Production, Storage and Offloading (FPSO) and Floating Storage and Offloading (FSO) vessels.

• Progress Across Adjacent Businesses: Shipbuilding operations in Batam recorded approximately 77% completionof its S$16.6 million contract value, while the deck equipment and cranes business achieved approximately 37% completion of its S$11.9 million contract value, with remaining order books of S$3.9 million and S$7.5 million, respectively.

• Stronger Earnings Attribution Following ASOM Acquisition: With the first full quarter of 100% ASOM ownership, a greater proportion of the subsidiary's earnings is now attributable to Beng Kuang Marine's shareholders, contributing to the improvement in PATMI.

Commenting on the Group's performance, Mr Yong Jiunn Run, Chief Executive Officer of Beng Kuang Marine, highlighted the progress made in converting secured contracts into earnings and cash flow, supported by the full execution of offshore lifecycle projects and later-stage delivery of Batam shipbuilding projects.

Looking ahead, the Group enters 4Q2026 with S$71.2 million in contracted work and order book, with management maintaining its focus on disciplined project execution, margin protection, billing and cash collection.

The latest business update reflects Beng Kuang Marine's progress in strengthening operating profitability, improving earnings attributable to shareholders and converting its secured project pipeline into financial performance.

See link for full announcement: https://www.bkmgroup.com.sg/view&id=1398