Philly Shipyard Q3 EBITDA Turns To Loss Of $28.9 Million

The U.S.-based shipbuilder reported operating revenues and other income for Q3 were USD $26.5 million, compared to USD $200.8 illion in Q3 2017.

The firm also forecast that the ongoing Matson vessel newbuilding projects would be a loss making project.

The firm further expects that it will suffer significant losses in 2018 and 2019.

Ongoing Work
Hull 029 production activities continue to progress in the Commissioning Dock and sea trials are expected to occur next month. Hull 030 production activities continue to progress in the Building Dock. The planned delivery dates for Hulls 029 and 030 remain Q3 2018 and Q1 2019, respectively.

Future Work Prospects
While Philly Shipyard continues to actively seek the new orders and capital necessary to build vessels after Hull 030, it continues to adjust its operations and workforce in line with its current order backlog. These adjustments include idling additional parts of its facilities and laying off some more of its employees. Since the beginning of 2018, Philly Shipyard has laid off approximately 25% of its employees in a series of layoffs.

Philly Shipyard, Inc. (PSI) is the wholly-owned U.S. subsidiary of Philly Shipyard ASA (Oslo: PHLY).

sources: Reuters and Philly Shipyard web site.