Fiji News From Around The World

Illustration of Profit declines for listed marina

Marina Company Faces Profit Dip Despite Strong Underlying Performance

Spread the love

Port Denarau Marina Ltd (PDM) reported an operating net profit of $3.3 million for the financial year ending July 31, 2024, a decrease from $6.6 million in the previous year. This decline, as outlined in their 2024 annual report submitted to the South Pacific Stock Exchange in Suva, is primarily attributed to a drop in the fair value of investment properties, despite a robust underlying performance from the company.

Total comprehensive income for PDM was recorded at $6.1 million, down from $8.2 million the previous year. The marginal decrease in operating profit to $4.4 million, slightly below last year’s figure of $4.5 million, was influenced by rising operational costs including infrastructure maintenance and labor challenges, although the company achieved a seven percent increase in revenue.

Cynthia Rasch, PDM’s CEO, noted a decline in superyacht arrivals due to various factors such as unrest in New Caledonia and shifts in global cruising patterns influenced by events like the Paris Olympics and the America’s Cup in Barcelona.

Looking forward, Rasch expressed optimism, stating that the company remains agile and is focused on exploring growth opportunities within the dynamic global yachting market. She highlighted the potential for capturing an increasing number of superyacht operators seeking enticing and secure cruising grounds in the South Pacific, buoyed by an expanding charter market.

Additionally, PDM declared a total dividend of 4.50 cents per share for the 2024 financial year, with shares last trading at $2.20 on the SPX.

In summary, despite facing challenges in the financial year, PDM is strategically positioning itself for future growth within the yachting sector. This adaptability could lead to exciting opportunities ahead, demonstrating resilience in navigating market fluctuations.

The positive outlook from the CEO, focusing on an evolving market and the interest in new cruising destinations, offers hope for recovery and growth in the coming years.


Comments

Leave a comment

Latest News

Search the website