Wintermar Offshore Marine Group reported a 31% year-over-year increase in operating profit to US$23.3 million for the fiscal year ending December 31, 2025, driven by margin expansion through an improved fleet mix. Core profit attributable to shareholders rose 19.2% to US$18 million, reflecting stronger operational performance despite geopolitical concerns and shorter-term drilling projects that lowered vessel utilization compared to 2024.
The company's owned vessel division saw revenue grow 13.8% to US$70.7 million, with gross margins widening to 41.7% from 36.1% the previous year. This improvement came despite softer charter rates and reduced offshore activity, compensated by higher revenue from operating more Dynamic Positioning (DP) equipped vessels. By December 2025, Wintermar operated seven Platform Supply Vessels (PSVs), up from five at the end of 2024, with an additional PSV purchased late in the year expected to become operational in the second half of 2026.
Strategic shifts contributed to changing division performances. The chartering division's gross profit declined to US$0.5 million from US$1.4 million as the company moved toward a management fee-based ship management model for better scalability. Meanwhile, the other services division saw contribution increase 9.3% to US$2.8 million. Total gross profit rose 24.1% to US$32.7 million, though expenses increased across several categories. Crewing costs grew 10.5% to US$11.4 million due to more DP vessels and overseas contracts, while depreciation rose 10.4% to US$14.8 million from fleet additions. Fuel costs decreased significantly by 26% as idle vessels used shore power in Batam.
Indirect expenses increased 10% to US$9.4 million, primarily from salary costs rising 11.9% to US$6.5 million as employee strength grew to 252 from 244. The company built out key technical and operations positions to prepare for fleet scaling. Marketing expenses increased 17.2% due to tender participation costs, while investments in new subsidiaries added to office utility expenses. EBITDA for FY2025 increased 21.8% to US$38.4 million, reflecting improved operations and cash generation. The company maintained a strong financial position with net cash despite higher interest expenses from vessel refinancing.
The industry outlook appears favorable for Wintermar's strategic direction. Geopolitical risks in 2025 led governments worldwide to prioritize energy security over long-term climate goals, while artificial intelligence adoption accelerated data center expansion and power demand. The International Energy Agency revised electricity demand growth upward to 3.7% for 2026, exceeding the 2015-2023 average of 2.6% annually. These factors drove increased investment in oil and gas exploration, particularly in deepwater drilling. Early 2026 attacks on Iran and subsequent retaliation disrupted Middle Eastern oil and gas supplies, spiking oil prices and potentially triggering more exploration investment as energy nationalism grows.
Wintermar's business prospects align with these trends. Indonesia has identified four strategic deepwater drilling projects slated for production between 2027 and 2030, with longer-term contracts expected to be awarded as projects ramp up in late 2026. With stronger cash flow anticipated in 2026, management plans to expand the DP fleet through vessel purchases or corporate acquisitions. Capital expenditure is budgeted to more than double from 2025's US$41.7 million in anticipation of increased offshore support vessel demand. Total contracts on hand at December 2025 amounted to US$59.1 million. For more information about the company's operations and certifications, visit https://www.wintermar.com.
