(Alliance News) - James Fisher & Sons PLC on Thursday reduced its dividend for the year amid a swing to loss.
The company noted that, with the sharp drop in energy prices followed by the global pandemic, the results in 2020 interrupted a lengthy period of double-digit growth in earnings and dividends.
The Barrow-in-Furness, England-based marine engineering services provider said revenue was GBP518.2 million in 2020, a 16% decline on the prior year. The company swung to a pretax loss of GBP52.5 million from GBP47.8 million profit recorded in 2019.
Three of the company's divisions and its ship-to-ship transfer business performed with resilience in the year, it said. However, project-related businesses, particularly subsea activities within Marine Support, were significantly impacted by deferrals or cancellations.
James Fisher & Sons cut its dividend for the year to 8.0 pence from 11.3p paid the year before.
"Although early in 2021, the group is trading in line with our expectations, however, caution remains due to the ongoing effects of the pandemic. The group has a resilient business model with a broad spread of end markets, customers and geographies, supported by a strong track record of converting its operating profit into cash," said
James Fisher & Sons shares were trading 0.3% higher in London on Thursday at 1,180.00p each.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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James Fisher and Sons (FSJ)