Wintermar Offshore Marine Group reported a 31% increase in operating profit for fiscal year 2025, reaching $23.3 million, as the company benefited from an improved fleet mix and expanded margins.
The company's core profit rose by 19.2% year-over-year to $18 million, driven by a 13.8% increase in owned vessel revenue to $70.7 million. Gross margins for owned vessels widened to 41.7% from 36.1% in the previous year, despite softer charter rates and reduced offshore activity due to geopolitical concerns.
Wintermar's chartering division saw a decline in gross profit, dropping to $0.5 million from $1.4 million in 2024. This was partly due to a strategic shift towards a management fee-based ship management model, which has led to increased contributions from the other services division, up 9.3% to $2.8 million.
Operating expenses rose slightly, with total crewing costs increasing by 10.5% to $11.4 million, and depreciation costs rising by 10.4% to $14.8 million due to fleet additions. However, maintenance costs fell by 2.9% to $7.3 million, and fuel bunker expenses dropped significantly by 26% as idle vessels were berthed on shore power.
Total indirect expenses increased by 10% to $9.4 million, largely attributed to higher salary costs, which rose by 11.9% to $6.5 million as the company expanded its workforce. Marketing expenses also saw a 17.2% increase due to higher fees and commissions.
Interest expenses surged by 83.5% to $2.1 million, while interest income doubled to $1 million. The company's associated companies contributed $4.1 million, a 71.5% increase from the previous year, reflecting better business conditions.
Despite a lower gain from the sale of older vessels, Wintermar's EBITDA increased by 21.8% to $38.4 million, showcasing the company's improved operational and cash generation capabilities.
The industry outlook remains positive, with heightened geopolitical risks prompting increased investment in oil and gas exploration, particularly in deepwater drilling. The International Energy Agency revised its electricity demand growth forecast to 3.7% for 2026, further supporting demand for offshore support vessels, especially those equipped with dynamic positioning systems.
Wintermar plans to expand its dynamic positioning fleet in 2026, with a budget for capital expenditures more than double that of 2025, funded by internal cash flow and bank loans. The company holds contracts worth $59.1 million as of December 2025, positioning it well for future growth.
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