Royal Boskalis B.V. (Boskalis) released its financial figures for the first half of 2023. The Dutch dredging contractor and marine services provider showed good performance across the company, both operationally and financially. Of its offshore energy portfolio, more than three-quarters is now related to offshore wind activities.
Compared to the same period last year, revenue increased by 22% to EUR 1.97 billion (H1 2022: EUR 1.61 billion). EBITDA increased by 27% to EUR 370 million (H1 2022: EUR 292 million). Adjusted for a EUR 50 million book gain in H1 2022, EBITDA increased 53%. Net profit increased by 56% to EUR 181 million (H1 2022: EUR 116 million, including EUR 37 million in exceptional gains and losses).
The financial position of Boskalis is very strong and the solvency ratio was stable and high at 49%. At the end of July, Boskalis repaid its US Private Placement loan of USD 297 million and Boskalis comfortably meets its financial covenants.
Offshore Energy
At Offshore Energy, revenue increased by 50% with an EBITDA increase of almost 70%. All business units saw increases in both revenue and earnings. A busy first half of the year was also reflected in a high utilization of the large vessels.
At Heavy Lifting, the installation of the foundations of the Changfang & Xidao offshore wind project in Taiwan was completed by the crane vessel Bokalift 1 and in the United States our new crane vessel Bokalift 2 successfully installed all the planned monopiles for the Southfork offshore wind farm. Fleet utilization at Marine Survey was high in both the North Sea and the Middle East and at Subsea Services the good first half year consisted of a combination of traditional IRM work and decommissioning activities. Finally, at Seabed Intervention the fleet was expanded with the commissioning of the Seapiper and in Taiwan offshore wind activities were ongoing.
At Marine Transport & Services, this included the BOKA Vanguard that was part of an impressive decomissioning project in which it transported a 50 year old, 330 meter long FPSO to a green scrapyard.
Dredging & Inland Infra
In the Dredging & Inland Infra division, revenue increased fractionally on a 26% higher EBITDA compared to the same period last year. Both the trailing suction hopper dredgers and cutter suction dredgers were exceptionally well utilized on large projects in Asia and the Middle East.
Noteworthy projects in progress include the activities in Manila (Philippines), Tuas Terminal 2 and the Pulau Tekong Polder (both in Singapore), various projects in the Middle East, the Fehmarnbelt tunnel (between Denmark and Germany), the access channel to the Port of Harwich (United Kingdom), the strengthening of part of the Togo and Benin coastline, the deepening of the Suriname River (Suriname) and a large number of projects in the Netherlands.
Salvage
At Salvage, the first half of the year was largely dominated by two prominent projects. In Southeast Asia, work commenced on a two-year project to recover a large jack-up platform from the seabed. The second project commenced late April with the mobilization of equipment to transfer 1.1 million barrels of oil from a decaying old tanker (FSO Safer) off the coast of Yemen into a modern replacement tanker.
The significance of the Towage portfolio as part of the Boskalis result has become very limited. Early 2023, an agreement was reached on the proposed sale of the terminal services activities of Smit Lamnalco. This transaction is expected to be completed in the fourth quarter.
Order book
The order book as per 30 June was virtually stable at EUR 6.0 billion (year-end 2022: EUR 6.1 billion). Of the total Offshore Energy portfolio, more than three-quarters is now related to offshore wind activities. With the projects in hand, there is a solid basis for the rest of this year and 2024. Source: Boskalis
