Wintermar Offshore (WINS:JK) has announced its financial results for the first half of 2026, reporting a 24.4% year-on-year increase in attributable net profit to US$8.4 million. This growth was underpinned by a 41.4% surge in owned vessel revenue to US$45 million, as more vessels became operational and fleet utilization improved to 62% from 56% in the prior year period. The company's owned vessel margins widened to 51.7% compared to 39.1% in 1H2025, reflecting a higher deployment of Platform Supply Vessels (PSVs).
Despite the positive performance, Wintermar noted that fleet utilization in the second quarter was slightly lower than the first, as the market remains dominated by spot contracts. The company also cited delays in the tendering timeline for some longer-term domestic OSV contracts, which prolongs volatility in utilization. Additionally, the ongoing conflict in the Middle East has impacted vessels planned for deployment in that region.
The chartering division continued its decline, with revenue falling 40.5% year-on-year to US$1.6 million, as management focuses on maximizing owned vessel utilization, which offers higher margins. In contrast, other services revenue rose by 40.8% to US$3.4 million, driven by increased fee-based income.
Gross profit for owned vessels climbed 76.9% to US$24.9 million, supported by improved utilization and cost controls. Direct expenses rose 12% due to higher depreciation and crewing costs, but fuel costs decreased by 40% as charterers assumed fuel expenses during operations. Operating profit surged 124.6% to US$20.1 million, while EBITDA jumped 76.8% to US$28.2 million.
Interest expenses fell slightly, and interest income rose, but associated companies recorded a loss of US$1.6 million due to lower utilization during vessel repairs. The company also incurred a forex loss of US$0.4 million on Rupiah-denominated cash due to currency depreciation.
Looking ahead, Wintermar remains optimistic about the offshore oil and gas sector. The Iran conflict continues to disrupt maritime traffic through the Strait of Hormuz, keeping oil prices firm and driving upstream investment. The rapid adoption of AI is also boosting energy demand, with more data centres being built. Offshore exploration and production capital expenditure is expected to rise until the end of the decade, and with 47% of the global OSV fleet over 15 years old, supply is tightening, pointing to higher charter rates.
To capitalize on this momentum, Wintermar has embarked on a three-pronged expansion plan: purchasing second-hand vessels, building new vessels, and acquiring Fast Offshore Supply Pte Ltd (FOS) to gain control of a fleet of Crew Transfer Vessels (CTVs) with long-term contracts. In July, the company took delivery of a second-hand diesel-electric AHTS and an MSV, which are expected to be operational by 4Q2026. A new MSV is on order for delivery in 2H2027, and through FOS, Wintermar will add seven FMPVs and five new CTVs in 2027, all contracted for five years.
The expansion will increase net gearing and expenses in the second half of 2026, potentially reducing net margins in the near term. However, management is confident these investments will be earnings accretive in 2027, with a significant jump in revenue and profit when the new vessels start operations. As of now, Wintermar operates a fleet of more than 48 offshore support vessels, with experienced Indonesian crew and real-time monitoring systems.
