Seatrium doubles its net profit on the back of a global energy boom

Fortune

by Angelica Ang

February 26, 2026

AI-Generated Deep Dive Summary

Energy and marine engineering firm Seatrium reported a remarkable 106% year-over-year increase in net profit, reaching 323.6 million Singapore dollars ($256.3 million) for 2025. This surge was driven by strong growth in its oil and gas and offshore wind businesses, which expanded by 24% and 60%, respectively. Despite a 25% decline in revenue from ship repairs and upgrades due to "trade-related uncertainties," the company's overall revenue grew by 24% to 11.5 billion Singapore dollars ($9.1 billion). Seatrium's shares rose by 3.6% following the earnings release, reflecting investor confidence in its performance. The company's success can be attributed to its merger with Sembcorp Marine and Keppel Offshore & Marine in 2023, creating a larger entity that leveraged economies of scale to reduce costs significantly. CFO Stephen Lu highlighted how the combined operations allowed Seatrium to eliminate unnecessary expenses and optimize its business model, leading to lasting cost savings. Seatrium's strong pipeline of potential contracts totaling over 32 billion Singapore dollars ($25.3 billion) underscores its position as a key player in both conventional energy and renewable projects. This includes 23 billion Singapore dollars in oil and gas deals, primarily driven by demand from the Americas, and 7 billion Singapore dollars in offshore wind projects. CEO Chris Ong emphasized the trust customers place in Seatrium to deliver these projects, even amid challenging macroeconomic conditions. One notable project is the construction of offshore substations for Empire Wind, a major U.S. offshore wind initiative off the coasts of New York and New Jersey. Despite hurdles like national security concerns raised by the Trump administration, the project—which will provide enough clean energy to power over 500,000 homes—is on track to finish this year. This highlights Seatrium's ability to navigate regulatory challenges while delivering impactful renewable energy solutions. Seatrium's performance aligns with the broader global energy demand growth, projected at 3.5% annually through 2030 by the International Energy Agency. As a relatively new but rapidly growing company, Seatri

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Originally published on Fortune on 2/26/2026