SINGAPORE (Aug 17): OCBC is maintaining its “hold” call for Kim Heng Offshore and Marine, with a target price of 8.9 cents.
This comes as the group reported a net loss of $1.4 million in 2Q16. Revenue declined 31% to $7.7 million. Net cash from operations came in at $1.3 million.
OCBC analyst Lee Pei Han says that the group is currently servicing 10-12 rigs but there remains unutilised capacity in the yard.