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The Group incurred a loss after income tax of $1.32 million in the six months ended 30 June 2021 ("1H2021"), 10.8% lower than the net loss of $1.48 million incurred in the six months ended 30 June 2020 ("1H2020"). The lower losses in 1H2021 was mainly due to gain from sale of vessels and lower administrative expenses.
Revenue decreased by 41.7% from $11.88 million for 1H2020 to $6.93 million for 1H2021. The decrease was due to decrease in utilisation rate from 66% for 1H2020 to 54% for 1H2021 from CHO-owned vessels and lower revenue generated from third-party chartered vessels.
Operating expenses for 1H2021 of $4.45 million was lower than 1H2020 of $8.33 million in line with the decrease in revenue. Direct depreciation for 1H2021 of $2.66 million was lower than $3.32 million in 1H2020 due to the sale of vessels in 2021 and lower direct depreciation as a result of impairment losses made in 2020.
Administrative expenses decreased by 8.0% from $1.67 million in 1H2020 to $1.54 million in 1H2021 mainly due to the lower payroll in 1H2021.
The Group's shareholders' equity decreased from $56.81 million as at 31 December 2020 to $55.47 million as at 30 June 2021 due to the losses of $1.34 million incurred in 1H2021.
Cash and cash equivalents decreased slightly from $3.19 million as at 31 December 2020 to $3.09 million as at 30 June 2021. The negative cashflow from operating activities, financial activities offset by net cash generated from investing activities mainly due to the cash proceeds from the sale of vessels.
Despite the gradual recovery of the global economy in this prolonged COVID-19 pandemic, activity in the oil and gas sector could still fall short of pre-pandemic levels within the next 12 months. We will continue to leverage on our strengths and stay conservative in our operations to adapt quickly to the ever-changing environment to remain sustainable and relevant in the long term.