Posted on April 18, 2017
Royal IHC has released its 2016 Annual Report showing a big loss, as expected according to previous interim media reports.
Pretax income dropped to -€34mm in 2016 from €36mm in 2015.
Revenues dropped by a third from €1,161mm to €764mm.
EBITDA dropped 82% from €85mm to €15mm.
Management noted that the loss resulted from: “the combination of a decrease in revenue, lower margins, the effects of a number of projects not achieving OSBIT (on specification, on budget and in time), and the costs associated with the second downsizing.”
IHC sold one of its yards, Hardinxveld-Giessendam, to align capacity with demand.
Management concluded: “The necessary changes have been implemented and shall be pursued further in line with the overall strategy.”
Click here for the thorough and candid full report.