Cosco Corporation third-quarter earnings vulnerable to reversal

Terminated drillship contract may adjust profits.

Research firm DBS expects Cosco Corporation to post a recurring net profit of S$16m when it releases its 3Q13 results on November 5, but a possible reversal and provision for drillship contract termination could shave a bit of profit from its bottom line.

"We reckon earnings could be affected by the potential reversal of profits previously recognised on the project (but likely to be minimal), and adjustment/provision for the termination of drillship contract," said DBS.

DBS also cast doubt on an immediate earnings recovery for Cosco Corporation despite its strong efforts to become a top offshore yard in China.

"While we are optimistic that Cosco will emerge as a competitive offshore yard in China in another cycle or two as it gains experience in various offshore products, earnings recovery will take time as it moves up the value chain gradually," reckoned the research firm.

Reaching the people who run Asia's businesses is harder than it used to be.

Inboxes are crowded. Attention is short. The executives you most want to reach — the founders, CFOs, and operators who actually move budgets — are the hardest to find through the usual channels. If you're building a company, a category, or a reputation, you already know this.

We've spent twenty years building the room they read. Singapore Business Review is where senior decision makers in Singapore and across Southeast Asia come for business coverage they can't get elsewhere — in print, online, and in person at the summits and roundtables we host across seven markets.

If you have something these readers should know about — a point of view worth publishing, a product worth their attention, an event worth their time — we'd like to hear what you're trying to do.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia