Fred. Olsen Ocean Sinks Further to Loss

Fred. Olsen Ocean, the owner of Fred. Olsen Windcarrier AS and Universal Foundation Norway AS and part of Bonheur ASA, ended 2015 with NOK 105 million (EUR 10.9 million) net loss, as compared to NOK 10 million net loss recorded a year earlier, due largely to delays in construction of several offshore wind projects and increased competition from oil service vessels.

The company’s operating revenues in FY 2015 were NOK 1.05 billion, compared to NOK 1.53bn operating revenue reported in 2014.

The company’s operating revenues in the fourth quarter of FY 2015 were NOK 219 million compared with NOK 392 million in the same period in 2014.

Revenues from the jack-up installation vessels Brave Tern and Bold Tern were lower during the quarter compared to the same quarter last year due to lower utilization following delays in construction of several offshore wind farms and increased competition from oil service vessels.

Early November 2015, the Brave Tern commenced a 3-month yard stay for the planned vessel upgrade, where she will have legs and boom extended. The upgrade is to position the vessels better to compete for a wider range of projects in deeper waters and with larger turbines.

Fred. Olsen Windcarrier Denmark A/S, an operator of eight crew transfer vessels owned by Fred. Olsen Windcarrier AS and Global Wind Service A/S,  had only 3 of the 8 vessels on contract at the end of the quarter due to a characteristic slowdown in the offshore wind industry during winter months.