2012 has been a busy and rewarding year for the Dyna-Mac Group. We undertook a total of eleven projects in our yards, some completely loaded out, while the rest are at different stages of completion. Our existing yard facilities operated at full capacity for most part of the year. Revenue for the Group increased by 81.6% to close at $215m. Correspondingly, gross profit increased by 50.7% to $57m.
We are pleased to receive repeat orders from our long term customers, and our recently developed customers. In 2012, we added two new customers to our customer list. We will continue to expand our customer base.
Keeping up with the efforts in expanding overseas to increase our yard production capacity, the Group acquired DMP Marine Fabricator (Nansha) Co., Ltd in July 2012. DMP Marine Fabricator has a leased yard of about 100,000 square meters and is situated in Nansha, Guangzhou, the People’s Republic of China. This yard is able to support our customer in topside modules fabrication for FPSO / FSO being converted in Guangzhou, China.
Pursuant to our collaboration with Keppel Shipyard, the Group formed a subsidiary, Dyna-Mac Keppel Philippines Inc, with KS Investment Pte Ltd as its partner. Dyna-Mac Keppel Philippine’s operations is sited within Keppel Subic’s shipyard to undertake a project for topside module fabrication awarded by Keppel Subic.
In order to increase our total capacity, the Group leased a yard in Johor, Malaysia of about 211,000 square meters. Improvement work and equipment installation is in progress to prepare the yard for production.
The Group also completed the acquisition of Haven Automation Industries (S) Pte Ltd on 26 March 2013 with a factory located in Jurong to provide for additional production capacity.
Our order book as at 26 February 2013 is $134 million. With Brent crude prices of about US$100 per barrel, the Group is seeing active tender enquiries. By increasing our yard production capacity, the Group is well positioned to take up new large fabrication projects.