Marco Polo Marine Ltd. (5LY) AI Stock Analysis

• Market Cap: S$168.73M
• Dividend Yield: 2.22%
• Average Volume (3M): 5.87M
• Price to Earnings (P/E): 7.9
• Beta (1Y): 0.89
• Revenue Growth: -13.64%
• EPS Growth: -28.75%
• Country: SG
• Employees: 404
• Sector: Industrials
• Sector Strength: 87
• Industry: Marine Shipping
• EPS (TTM): <0.01
• Shares Outstanding: 3,753,649,200
• 10 Day Avg. Volume: 6,234,870
• 30 Day Avg. Volume: 5,868,186
• PEG Ratio: 0.15
• Price to Book (P/B): 0.55
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -6.24
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

• Rating: 66 Neutral
• Price Target: ―

Marco Polo Marine Ltd. is performing well financially, with strong revenue growth and profitability metrics. The financial stability is supported by a strong balance sheet, although negative free cash flow and increasing debt levels are concerns. Technical indicators suggest bearish trends, and despite an attractive valuation, these factors collectively result in a moderate stock score.

Marco Polo Marine Ltd. Business Overview & Revenue Model

Company Description

Marco Polo Marine Ltd., an investment holding company, operates as an integrated marine logistic company primarily in Singapore, Indonesia, Australia, Myanmar, Taiwan, and Malaysia. The company operates through Ship Chartering Services; and Ship Building and Repair Services segments. It engages in chartering of offshore supply vessels, such as anchor handling tug supply vessels, as well as tugboats and barges for mining, commodities, construction, infrastructure, and land reclamation industries. The company is also involved in ship building business, as well as provision of ship maintenance, repair, outfitting, and conversion services. In addition, it engages in contract services and trading activities, management consultancy and marketing activities, and ship chartering services. The company was founded in 1991 and is based in Singapore.

How the Company Makes Money

Marco Polo Marine Ltd. generates revenue through several key streams. Firstly, the company earns income from chartering its offshore support vessels to clients in the oil and gas and renewable energy sectors. These long-term charter contracts provide a steady stream of income. Secondly, the shipyard division contributes to revenue through shipbuilding and repair services. This includes constructing new vessels and offering maintenance and repair services for existing vessels. Partnerships with major oil and gas companies and renewable energy firms help sustain demand for its services, while strategic location advantages in Southeast Asia facilitate access to vital shipping routes and oilfields.

Marco Polo Marine Ltd. Financial Statement Overview

Summary

Marco Polo Marine Ltd. exhibits strong revenue growth and profitability with robust gross and net margins. The balance sheet shows financial stability, but negative free cash flow and increased debt levels pose risks.

Income Statement

Marco Polo Marine Ltd. has demonstrated significant revenue growth over the years, with a solid increase from $30.8 million in 2020 to $123.5 million in 2024. The gross profit margin has remained robust, showing an increasing trend, and the company maintains a healthy net profit margin. The EBIT and EBITDA margins indicate strong operational efficiency. However, there was a slight decline in revenue from 2023 to 2024, which should be monitored moving forward.

Balance Sheet

The company exhibits a strong equity base with a high equity ratio, indicating financial stability. The debt-to-equity ratio is low, reflecting conservative leverage practices which reduce financial risk. Return on equity is positive and stable, showing effective use of equity. A notable increase in total assets and equity highlights growth, although the increase in total debt should be noted.

Cash Flow

Marco Polo Marine Ltd. has shown fluctuating free cash flow, currently negative due to significant capital expenditures. Operating cash flow has improved over time, reflecting better cash generation from operations. However, the free cash flow to net income ratio is concerning, as sustained negative free cash flow can impact future liquidity.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
168.34M	123.53M	127.13M	86.09M	46.11M	30.85M
	Gross Profit
64.29M	48.52M	45.74M	27.48M	12.01M	4.43M
	EBIT
47.98M	27.17M	30.61M	23.13M	15.21M	-6.15M
	EBITDA
40.27M	39.74M	42.67M	32.19M	22.21M	-1.10M
	Net Income Common Stockholders
38.52M	21.70M	22.58M	21.34M	14.78M	-9.21M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
49.92M	68.77M	63.10M	53.51M	20.35M	13.59M
	Total Assets
238.64M	276.94M	229.08M	188.11M	139.58M	113.32M
	Total Debt
7.18M	40.32M	8.54M	3.76M	4.47M	624.00K
	Net Debt
-42.74M	-28.45M	-54.56M	-49.76M	-15.87M	-12.97M
	Total Liabilities
46.88M	75.86M	45.19M	36.45M	24.70M	13.64M
	Stockholders Equity
174.72M	183.63M	167.84M	138.88M	114.88M	99.68M
Cash Flow		Free Cash Flow
-959.00K	-24.17M	-4.27M	24.06M	6.60M	-2.90M
	Operating Cash Flow
64.35M	37.63M	28.11M	28.66M	8.83M	4.06M
	Investing Cash Flow
-55.61M	-55.98M	-22.82M	3.43M	-2.23M	-4.38M
	Financing Cash Flow
-7.07M	25.22M	6.05M	-755.00K	-322.00K	400.00K

Marco Polo Marine Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.04
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:5LY, the sentiment is Negative. The current price of 0.04 is below the 20-day moving average (MA) of 0.04, below the 50-day MA of 0.04, and below the 200-day MA of 0.05, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 9.10 is Positive, neither overbought nor oversold. The STOCH value of -57.78 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SG:5LY.

Marco Polo Marine Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	66 Neutral	$4.47B	12.22	5.40%	3.65%	4.14%	-12.00%
5LY	66 Neutral	S$168.73M	7.89	11.57%	2.22%	-13.64%	-28.75%
5GZ		S$26.71M	―	-0.27%	―	―	―
BEZ		S$36.97M	3.13	75.59%	3.31%	―	―
V3M		S$4.31M	―	-639.10%	―	―	―

Marco Polo Marine Ltd. Corporate Events

Marco Polo Marine Reports Stable Earnings and Strategic Milestone in 1HFY2025

Marco Polo Marine Ltd. reported stable earnings for the first half of FY2025, with a net asset value increase to S$210 million. Despite a 14.4% decline in revenue, primarily due to reduced shipyard operations, the company achieved a strategic milestone with the successful maiden charter of its CSOV in April. The company’s gross profit margin improved to 41.3%, driven by higher margins in ship chartering, indicating resilience amidst financial challenges.

Marco Polo Marine’s MP Wind Archer Begins Operations in Taiwan

Marco Polo Marine Ltd. has announced the successful reflagging of its new Commissioning Service Operation Vessel, the MP Wind Archer, to the Republic of China, Taiwan. This move underscores the company’s commitment to the growing offshore wind energy sector in Taiwan. The vessel has begun operations and revenue generation, having commenced its maiden charter with Siemens Gamesa Renewable Energy for the Hailong Wind Farm project, marking a significant step in Marco Polo Marine’s strategic expansion in the Asia-Pacific region.