Al Seer Marine records a 4% revenue growth at Dhs1.281b

Al Seer Marine (ASM), a frontrunner in the maritime industry and a subsidiary of International Holding Company (IHC), has announced its financial results for 2024, highlighting operational growth amidst market-driven recovery trends.

The company recorded a 4.0 per cent increase in total revenue to Dhs1.281 billion.

This growth was achieved through diversification across key sectors. This included the commencement of operations for four new MR tankers in the Commercial Sector, a surge in demand for yacht management services in the Yachting Sector, and the establishment of new maintenance and technical support contracts in the Innovation, Defense, and Technologies Sector.

In addition, Al Seer Marine had a 6.2 per cent increase in gross profit, reaching Dhs153 million in 2024, driven by the successful implementation of efficiencies and optimisation measures. And the company’s total assets stood at approximately Dhs8.4 billion as of the end of 2024, reflecting its strong position in the industry.

Al Seer Marine reported total losses of Dhs1.47 billion for 2024, stemming from a decline in the fair value through profit or loss (FVTPL) of shares in leading firms listed on the Abu Dhabi Securities Exchange (ADX) due to market fluctuations. The year-end results showed a significant rebound from mid-year losses, reflecting the strength of the UAE’s economic fundamentals and the strategic importance of Al Seer Marine’s investments in reputable firms.

Guy Neivens, CEO of Al Seer Marine, commented on this progress: “Our focus in 2024 remained firmly on strengthening our operational capabilities and reinforcing our position as a maritime powerhouse. We expanded our fleet with cutting-edge, future-proof tankers and enhanced our shipbuilding capabilities through Dune, our joint venture with Damen International, to construct both naval and commercial vessels. Additionally, our state-of-the-art USV solutions and the world’s largest advanced 3D printing facility at our headquarters have firmly established Al Seer Marine as a leader in innovation within the maritime industry.”

He added: “Diversification has been central to our approach, helping us mitigate risks and ensure consistent revenue streams. This strategy has established us as a trusted partner for prominent financial and investment institutions in the UAE and globally. Our partnership with BOCOM Financing Leasing is a testament to the trust placed in our vision and capabilities on an international scale.”

The collaboration with BOCOM Financial Leasing Co, Ltd. (BOCOM Leasing), a subsidiary of the Bank of Communications, one of China’s largest commercial banks, was announced in October 2024 with a USD 80 million (AED 293.8 million) deal to finance the delivery of two MR oil and chemical tankers. The partnership was further expanded with a similar deal to finance two more tankers, bringing the total investment committed by BOCOM Leasing to $160 million (Dhs586.8 million).

“The global commercial shipping industry in 2024 faced immense disruptions to shipping routes due to geopolitical tensions, fluctuating freight rates, the enforcement of new green regulations, and rising operational costs. At Al Seer Marine, we overcame these challenges by leveraging long-term chartering contracts and well-structured sourcing partnerships to safeguard our operational profits from market volatility,” said Gunther Alvarado, Deputy CEO of Al Seer Marine.

The four new tankers have secured 5-year time charters with Reliance Industries (Middle East) DMCC, valued at Dhs154.2 million ($42 million) per vessel, with a total value of Dhs617 million ($168 million). Al Seer Marine will deliver two vessels remaining from the six MR tankers ordered from K Shipbuilding, in Q1 2025.

The delivery of these final vessels is expected to further enhance Al Seer Marine’s commercial revenue. The company is a key partner and investor in the UAE’s maritime sector, complementing its strategic investments exceeding Dhs1.45 billion.

Meanwhile in December 2024 Al Seer Marine has taken delivery of M.T. Saiph and her sister ship from K Shipbuilding Korea.

Each vessel is equipped with an Exhaust Gas Cleaning System (EGCS) and engineered to accommodate alternative fuels such as Liquefied Natural Gas (LNG), ammonia, and methanol.

These advanced features ensure future adaptability and compliance with stringent environmental regulations while meeting the surging global demand for clean petroleum products (CPP) and chemical transportation.

The delivery is financed by BOCOM Financial Leasing Co., Ltd. (BOCOM Leasing), a subsidiary of China’s Bank of Communications, securing $80 million—$40 million per vessel. This latest agreement strengthens Al Seer Marine’s partnership with BOCOM Leasing, first established in August 2024 with the $80 million financing of MR Tankers Betelgeuse and Bellatrix, bringing BOCOM’s total commitment to $160 million.

Al Seer Marine (ASM), a frontrunner in the maritime industry and a subsidiary of International Holding Company (IHC), has announced its financial results for 2024, highlighting operational growth amidst market-driven recovery trends.

The company recorded a 4.0 per cent increase in total revenue to Dhs1.281 billion.

This growth was achieved through diversification across key sectors. This included the commencement of operations for four new MR tankers in the Commercial Sector, a surge in demand for yacht management services in the Yachting Sector, and the establishment of new maintenance and technical support contracts in the Innovation, Defense, and Technologies Sector.

In addition, Al Seer Marine had a 6.2 per cent increase in gross profit, reaching Dhs153 million in 2024, driven by the successful implementation of efficiencies and optimisation measures. And the company’s total assets stood at approximately Dhs8.4 billion as of the end of 2024, reflecting its strong position in the industry.

Al Seer Marine reported total losses of Dhs1.47 billion for 2024, stemming from a decline in the fair value through profit or loss (FVTPL) of shares in leading firms listed on the Abu Dhabi Securities Exchange (ADX) due to market fluctuations. The year-end results showed a significant rebound from mid-year losses, reflecting the strength of the UAE’s economic fundamentals and the strategic importance of Al Seer Marine’s investments in reputable firms.

Guy Neivens, CEO of Al Seer Marine, commented on this progress: “Our focus in 2024 remained firmly on strengthening our operational capabilities and reinforcing our position as a maritime powerhouse. We expanded our fleet with cutting-edge, future-proof tankers and enhanced our shipbuilding capabilities through Dune, our joint venture with Damen International, to construct both naval and commercial vessels. Additionally, our state-of-the-art USV solutions and the world’s largest advanced 3D printing facility at our headquarters have firmly established Al Seer Marine as a leader in innovation within the maritime industry.”

He added: “Diversification has been central to our approach, helping us mitigate risks and ensure consistent revenue streams. This strategy has established us as a trusted partner for prominent financial and investment institutions in the UAE and globally. Our partnership with BOCOM Financing Leasing is a testament to the trust placed in our vision and capabilities on an international scale.”

The collaboration with BOCOM Financial Leasing Co, Ltd. (BOCOM Leasing), a subsidiary of the Bank of Communications, one of China’s largest commercial banks, was announced in October 2024 with a USD 80 million (AED 293.8 million) deal to finance the delivery of two MR oil and chemical tankers. The partnership was further expanded with a similar deal to finance two more tankers, bringing the total investment committed by BOCOM Leasing to $160 million (Dhs586.8 million).

“The global commercial shipping industry in 2024 faced immense disruptions to shipping routes due to geopolitical tensions, fluctuating freight rates, the enforcement of new green regulations, and rising operational costs. At Al Seer Marine, we overcame these challenges by leveraging long-term chartering contracts and well-structured sourcing partnerships to safeguard our operational profits from market volatility,” said Gunther Alvarado, Deputy CEO of Al Seer Marine.

The four new tankers have secured 5-year time charters with Reliance Industries (Middle East) DMCC, valued at Dhs154.2 million ($42 million) per vessel, with a total value of Dhs617 million ($168 million). Al Seer Marine will deliver two vessels remaining from the six MR tankers ordered from K Shipbuilding, in Q1 2025.

The delivery of these final vessels is expected to further enhance Al Seer Marine’s commercial revenue. The company is a key partner and investor in the UAE’s maritime sector, complementing its strategic investments exceeding Dhs1.45 billion.

Meanwhile in December 2024 Al Seer Marine has taken delivery of M.T. Saiph and her sister ship from K Shipbuilding Korea.

Each vessel is equipped with an Exhaust Gas Cleaning System (EGCS) and engineered to accommodate alternative fuels such as Liquefied Natural Gas (LNG), ammonia, and methanol.

These advanced features ensure future adaptability and compliance with stringent environmental regulations while meeting the surging global demand for clean petroleum products (CPP) and chemical transportation.

The delivery is financed by BOCOM Financial Leasing Co., Ltd. (BOCOM Leasing), a subsidiary of China’s Bank of Communications, securing $80 million—$40 million per vessel. This latest agreement strengthens Al Seer Marine’s partnership with BOCOM Leasing, first established in August 2024 with the $80 million financing of MR Tankers Betelgeuse and Bellatrix, bringing BOCOM’s total commitment to $160 million.