https://links.sgx.com/FileOpen/Semb...te 3Q2021.ashx?App=Announcement&FileID=690283
The Group continues to focus on the safe and timely execution of its existing order book as at end 3Q2021 of over S$1.42 billion, including S$0.18 billion of ongoing repairs and upgrades for delivery by 2022.
The above have resulted in further delays and increased projected costs to complete these projects over the next three to nine months. Of the 16 projects under execution by the Group, five projects have been further delayed by between one and three months. The Group is therefore likely to incur further cost overruns of a material amount and is currently in negotiations with its counterparties and taking other measures to mitigate these cost overruns.
Based on information currently available, the Group expects that the increased costs to complete the projects, as well as the losses arising from the added delays, will result in significant losses for 2H2021, which could potentially be in the range of the losses reported for 1H2021. The Group will only be able to quantify the actual losses closer to the end of the financial year ending 31 December 2021, as much will also depend on the performance of the Group in the last quarter of 2021.