JES erases losses on more deliveries in 2010

China shipbuilder JES International Holdings has erased losses of RMB104.3m ($15.9m) in 2009 as it took net profit of RMB67.5m in 2010 on higher vessel deliveries.

The Singapore-listed firm announced Tuesday revenue of RMB2.26bn last year, a spike of 49.5% from RMB1.51bn recorded in 2009. JES unveiled that its orders on hand now stood at a record high of 51 vessels worth $1.6bn, following the completion in December last year of its new yard located next to its existing yard in China. “With the 40 new vessels we secured in financial year 2010, we have enough orders on hand to keep both our new and existing yard busy for the next 24 months,” said Jin Xin, chairman and ceo of JES. The shipbuilder delivered 12 bulk carriers in 2010 compared to seven in 2009, when operations were affected by slower production and delays from customers amid the global financial crisis. Jin added that the recent unrest in the Middle East and rising crude oil prices have affected short-term customer demand, but the long-term sustainability of China's shipbuilding industry will remain intact. JES remains “cautiously optimistic about the long-term outlook of the global economy and the shipbuilding industry.” Barring any unforeseen circumstances, the company expects financial performance in the first-half of this year to exceed that of the previous year, and that full year 2011 results will surpass that of 2010.