Gulf Marine Services Share Discussion Threads

[wad collector] 27/11/2014 20:18

Time to stay cool I think.

[jakedog2] 27/11/2014 19:08

ref my earlier point on liquidity......

only 30% free float, did not realise that(106m shares).....order book seized up.... with only 200K shares traded.

Some holders selling at 113p, when you look at the trades .... should not be that difficult to get out of £500M company.... more reminiscent of a micro cap with the large spread

[hatter2] 27/11/2014 17:24

Maybe Gervais Williams is exiting the stock due to the poor sentiment in the sector. Just a thought, I have absolutely no knowledge if that's the ace and no RNS as yet regarding a large sale.

[ricky46] 27/11/2014 17:07

The current secured backlog (as shown in the table below) of $547 million provides good visibility on future earnings. Our existing SESV fleet (including the Pepper delivery) is already contracted out for more than 85% of the charter time available to it in 2015.

[jakedog2] 27/11/2014 16:33

£500M mkt cap but a very, very illiquid stock. 6% spread during sell off in last hour.

[fruitninja84] 27/11/2014 16:26

I think the worry here is if production is cut then there will be vessels without work just moored up!A bit like flybe with all those planes grounded just costing the company money!

[jakedog2] 27/11/2014 16:24

Gazza12....oil price diving

[gazza12] 27/11/2014 16:17

What the hell is going on?

[fruitninja84] 27/11/2014 16:17

Seems a little harsh

[macarre] 27/11/2014 15:31

Just topped up @ 126.1. Too cheap to resist...

[robow] 27/11/2014 15:15

good time to buy some more

[fruitninja84] 27/11/2014 11:20

Indeed Hatter2

If i was intending to hold for the long run i would be tempted to open up a short to hedge my posistion, i did this and managed to get away with a smaller loss as my buy was up in the 150s

Problem with sitting on a loss is that if things do go wrong and disaster strikes with the company it can really hurt!

im likely to revisit soon just dont want to get caught out here,

[hatter2] 27/11/2014 11:11

Fruitninja, agree with your sentiments and actually topped up my holding. May have to wait a couple of years but I reckon it should come good in the medium term.

[fruitninja84] 27/11/2014 10:32

There can't be many here sitting in any gains from this? Lovely company but had to sell out at a loss today as the market is just not a fan ,, Looking to revisit sometime soon I hope at a lower level? Funny thing is is that the low price of oil actually benefits GMS...

[rolo7] 12/11/2014 15:45

Frustrating for sure at this moment only 1 of the Large vessels is contracted for 2015 for (35m$) of revenue the other one has an option 90% chance and new enterprise not signed up after Q1 2015. Awaiting news on this.

[melf] 06/11/2014 13:49

One of the institutions probably.....we'll more than likely get an RNS in the next day or two if that was the case.

[shakeypremis] 06/11/2014 13:07

Did somebody just buy 1.4m shares?

[melf] 05/11/2014 10:49

It's interesting that the recent mark down of the share price has generally been attributed to the drop in oil prices. However, it appears from today's trading statement that a low price will in fact benefit GMS.

[melf] 31/10/2014 08:45

The bit I like......and of course there is always the possibility of GMS being snapped up in due course.

"The global oilfield services market is expected to increase to $521 billion in 2018 from $354bn this year, according to consultancy Douglas-Westwood."





Abu Dhabi’s Gulf Marine Services has won a contract to deploy one of its vessels in the North Sea next year as demand from the European oil and gas industry remains strong.

With the latest contract, all 10 of the vessels in its fleet will be deployed.

The vessel will be chartered in the Dutch sector of the North Sea in the second quarter of next year for two years, with the option of an extension for a further two years. Gulf Marine Services (GMS) provides support vessels for the offshore oil, gas and renewable energy sectors.

The company, based in Mussaffah, where it builds its vessels, listed its shares in London this year.

While the company declined to disclose the contract amount and the client, its top five customers accounted for more than 45 per cent of their business at the end of last year, with a “substantial majority” of the revenues coming from Middle East and North Africa (Mena) clients such as Adnoc, Qatar Petroleum and Saudi Aramco.

At the end of last year, GMS’s largest client, Adnoc, accounted directly or indirectly for 29 per cent of its revenues, according to the company.

The market and demand in Europe for its fleet is “strong”, according to Duncan Anderson, the chief executive of GMS.

The global oilfield services market is expected to increase to $521 billion in 2018 from $354bn this year, according to consultancy Douglas-Westwood.

Technip, Europe’s largest oilfield-services provider by market value, on Thursday reported a 12 per cent decline in third-quarter profit but maintained its earnings targets for this year and next.

Lower oil prices are among reasons to “be cautious”, Technip said. Crude has dropped by a quarter since June, taking benchmark North Sea Brent down to about $87 a barrel as overproduction and lacklustre demand have filled stockpiles around the world.

GMS is in the process of adding six more vessels to its fleet by the end of 2016. The first of these, GMS Enterprise, started its four-month contract for an engineering, procurement and construction contractor working for a national oil company from the Mena region in September.

Currently operating in the Mena region and North-west Europe, GMS is looking to Southeast Asia and West Africa to expand its footprint.

It has a current project backlog of US$547 million. In the first half of the year, its net profit rose to $33.1m from $32.1m year-on-year. The initial public offering in March raised $111m.

Shares were trading at 136 pence on Thursday afternoon, up 0.74 per cent from Wednesday’s close. The shares debuted at 130 pence in March. This month, analysts at Canadian financial services company Canaccord Genuity had a “buy” rating on the stock while JP Morgan Chase had a “neutral” rating. Barclays analysts put an “overweight” rating on the stock in August.

The Dubai-based rig maker Lamprell, which is also listed in London, expects full-year earnings to be ahead of expectations after its order book grew this year.

Sharjah-based oil services company Petrofac saw net profits slide to $136m in the first half, down from $243m year on year, but this month it won orders worth $620m for work in Iraq and the North Sea.

[wad collector] 31/10/2014 08:29

Somewhat better than the best Savings Account!

[hatter2] 31/10/2014 03:40

I suspect you are correct wad collector and see view these with a 2 or 3 year horizon. Just my view but assuming the oil price picks up over this timescale there could be an attractive price appreciation. Note I am not looking at silly multiples but possibly 40% over this time-line.

[wad collector] 30/10/2014 23:43

This share price is going to stay suppressed until the oil price picks up. Exploration timeframes are long , necessarily , but no-one is going to be leaping into marine oil exploration with Crude prices so low . Unless they are confident that the prices will have soared by the time the oil is flowing....
Admittedly the maintenance side is less vulnerable but just longer timeframes.

[hatter2] 30/10/2014 13:22

Topped up my holding this morning on the good contract news.
Personally I am happy to hold on to these for some considerable time. Currently they appear to be excellent value within a market where oil related stocks are not best loved; they have also been hit recently with the market sell off. Given time this will change and IMO today was a good top up opportunity.
I am in absolutely no rush.

[rolo7] 30/10/2014 09:34

not sure if there is going to be a half year gap in revenues moving this vessel from middle east to north sea?