Baker Technology LimitedAnnual Report 2014
49
2011
2011showedpositivesignsof recoverywith theGroup’snetorderbookbeginning tostrengthen, jumping fromUS$33
million to hit a high of US$102million in September 2011, before ending the year at US$80million. Consequently,
revenue increased steadily by 68%, from $48.4 million in 2010 to $81.1 million in 2011. However, with competitive
pricing and lowermargins earned from someprojects, coupledwith less opportunity for value-added services, this
resulted ingross profit easingby 6% to $23.5million.
Combinedwith the absence of contribution from PPL Shipyard Pte Ltd and higher professional fees incurred for
the legal dispute with SCM, the Group’s pre-tax profit declined from $30.4million to $10.6million. The Group’s
cashposition remained strong at $169.3million.
2012
TheGrouppeaked its record revenue in2012, growing21% from$81.1million in2011 to$98.2million. TheGroupalso
disposedof its remaining 49% stake inYork Transport Equipment (Asia) Pte Ltd for $22.2million, recognising again
of $10.9million from thedisposal. Following theHighCourt ruling in theGroup’s favour in relation to the legal suit
with SCM, theGroup recognised thedeferredgainof $58.2million from thedisposal of PPLH. As a result of these
gains, pre-taxprofit surged to $84.8million.
However, amidst an increasinglyuncertainglobal economicoutlook, order intakebegan to slowdown in the second
half of the year. As atDecember 2012, thenet order book stood at US$49million.
TheGroup’s cashposition remainedhealthy at $173.9million.
2013
With the gain of $8.8 million from the disposal of its associate, Discovery Offshore S.A., the Group saw greater
profitability in 2013.With theexclusionof the investment gain, theGroup’s net profit improved from $12.5million in
2012 to$13.6million for 2013.
Despitepayingouta recorddividendof$87.2million toshareholders forfinancial year2012, theGroup’scashposition
remained strong at $205.9million at December 2013 or 23.6 cents per share. This was attributed to proceeds from
the conversionof warrants andpositive cash inflows fromoperations.
2014
In 2014, the Group witnessed its revenue increasing 4% year-on-year. The Group’s net profit of $13.5 million for
FY2014was a slight decline compared to $13.6million recorded for FY2013 (excluding investment gainof $8.8m).
With higher administrative expenses due to new operating subsidiaries, the Group incurred an additional
administrative expense of $3.2 million in FY2014. However, this increase was offset by higher exchange gain and
lower taxation charge for the current year.
