Keppel Corp (KPLM.SI), the world's largest offshore oil rig-maker, said its outlook is brightening after strong orders in the first quarter and posted a better-than-expected 13% rise in profit.

The conglomerate, whose interests span from offshore and marine engineering to property and infrastructure, also said it was aiming to list its infrastructure division K-Green Trust in the second quarter of 2010. 

 

“Topline is in line with our forecast, but the main surprise here is that the margins of the offshore marine division came in above expectations,” said Jason Saw, analyst at DMG.

Keppel said it had secured $1.6 billion worth of orders in the first quarter, close to its full-year projection of $2 billion for the whole of 2010 earlier this year. 

 

“The first quarter of this year saw the global recovery gaining momentum,” Choo Chiau Beng, Keppel Corp's chief executive said. 

 

“With the improving economic environment, the outlook for Keppel's key businesses is brightening,” he added. 

 

However Choo said the margins for offshore and marine business seen in the first quarter may not be sustainable in the longer-term. 

 

The company, which has a market value of $16 billion, is hoping to secure more contracts from Brazilian energy company Petrobras.

 

State-run Petrobras had said it is planning to order 28 oil rigs to be delivered between 2013 and 2018. 

 

Keppel earned $322 million in the three months to March, up from $285 million a year ago, and compared to Thomson Reuters I/B/E/S estimates of $246 million, helped by strong performance of its property business. 

 

Keppel Land (KLAN.SI) reported a 75.3% rise in its first quarter net profit to $64.7 million.  

 

Keppel shares have risen by 21% since the start of the year, outperforming a 3% rise in the broader Singapore market (.FTSTI) and the 16% gain for Sembcorp Marine.