PETALING JAYA: Icon Offshore Bhd is keen to venture into strategic merger and acquisition opportunities to propel it into the next growth phase, with solid offshore support vessels (OSVs) and drilling segments under its belt supported by a strong order book.

       It also noted that 80% of its vessels were on long term contracts providing earnings stability and cash flow certainty.

       In a statement, managing director Datuk Seri Hadian Hashim pointed out that the group has a combined order book and tender book of RM2.1bil.

       “With a diverse portfolio of assets, we are ready to take full advantage of the current positive industry outlook on the back of rising oil prices and increased industry activities,” he said.

       In the financial year 2022 (FY22) ending Dec 31, the group will focus on sustainability by continuously weighing the impact of several environmental, social and governance (ESG) topics, primarily when it comes to addressing climate change-related matters, supply chain integrity, fair labour standards and health, safety, security and environment excellence in its business models and strategies.

       “In the pursuit of these ESG goals, we have established a strong sustainability governance structure within Icon to oversee, define, execute and maintain our sustainability ambitions and projects,” added Hadian.

       For its fourth quarter ended Dec 31, 2021 (Q4’21), the group posted a net profit of RM7.7mil (compared with RM84,000 a year earlier) while revenue jumped 48% year-on-year to RM81mil.

       For FY21, net profit was 7.9% lower year-on-year to RM25.6mil while revenue jumped 42% year-on-year to RM301mil.

       The group said the strong top line underscores its diversification strategy on two fronts – geography and business portfolio.

       Hadian noted that in FY21, the group had strengthened its presence in Brunei by securing three long-term contracts for its accommodation work boats, with its Brunei portfolio contributing 30% of group revenue.

       In addition, the completion of the acquisition of the drilling business and operationalisation of this segment further augmented Icon’s revenue, contributing 30% of Icon’s revenue and RM6.5mil to group profit for FY21.

       “FY21 was an exciting year for Icon as we integrated the drilling business into the group’s existing OSV segment,” said Hadian

       . We are very pleased with the continuous improvement and sustainable growth in both segments which resulted in positive momentum, despite the ongoing economic challenges from the Covid-19 pandemic. This has set Icon on the right trajectory moving forward.

       “Our diversification strategy came into fruition in FY21 with Icon having a strong presence in Brunei and a business portfolio that is geared to capture a larger share of wallet of the upstream spending,” said Hadian.