Sunseeker reports 2Q results - Trade Only Today

Sunseeker reports 2Q results

Sunseeker International said it swung back to a profit in the second quarter and it forecasts an overall return to profit for the full year.
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Sunseeker International said it swung back to a profit in the second quarter and it forecasts an overall return to profit for the full year.

The company also announced 50 million pounds of investment — about $66.9 million — to be spent across new products, improved shipyard facilities and the continued recruitment of people during the next five years.

This development follows much improved results through sustained growth in 2015, a year that also saw considerable investment, Sunseeker said.

The company said the results also can be attributed to a period of significant change and restructuring in the business and a plan put together by Sunseeker’s new executive team. They oversaw investment in new products, shipyards, growing the global dealer network and hiring staff and apprentices.

That was coupled with building better efficiencies throughout the business and driving a strong and continually improving order book, which the company said is up 24 percent (by turnover) year on year in 2016.

“I am delighted with our performance,” Sunseeker International CEO Phil Popham said in a statement.

“2016 has been a defining year for Sunseeker, and we are confident of achieving strong, profitable and sustained long-term growth as we continue to invest in the business for the future. This was just the start of our journey. We will continue to invest heavily over the next five years in new product development, shipyards and our people. All this, underpinned by a strong forward order book, means we are very excited for the future of this business.”

The investment in new model development has resulted in five launches in 2016 — the 131 Yacht, 95 Yacht, Manhattan 52, 116 Yacht and Predator 68 MK II — which the company said have secured more than 220 million pounds (about $294 million) of orders at retail value to date. The model launches are slated to continue as part of a long-term product plan that will see new-model introductions across the size range during the next five years, the company said.

The plan is backed by majority shareholder Wanda Group, which the company said has underwritten the investment to support it.

Sunseeker said it also made financial progress in 2015, reducing its losses by 67 percent, to 13.6 million pounds ($18.2 million), and paving the way for the company to return to profitability this year.

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