Nautilus Marine Services registered an increase in total loss for 2017 on Wednesday, despite increasing revenues 40% to $250,000 compared to the previous year.
The offshore services company saw total loss rise by 35% to $8.96m compared to the prior year as its cost of sales skyrocketed 822% to $5.55m, primarily due to Nautilus' acquired assets.
Operating costs of the group's 12 newly acquired offshore vessels accounted for $2.8m of the increase and cost of sales from the company's oil and gas assets in Colombia added a further $377,000.
John Payne, managing director of Nautilus Marine Services, said: “With our expertise and available capital, we believe we can build an offshore service group by connecting synergistic technologies and helping to expand those services into new regions as well as providing existing customers with a wider range of services. Through balance sheet restructuring, streamlining of administrative functions and capital infusion for expanded services, Nautilus aims to develop as a well-balanced and unique service provider.”
Administrative expenses saw a slight increase to $6.3m from $6.1m the year before, as increased staffing, consulting and professional fees arose from the groups integration of acquisitions and alterations of its organisational structure.
The previously mentioned acquisition of 12 offshore vessels, along with equipment, was made through a purchase of distressed assets, a strategy which the company said it will continue to engage in.
Nautilus commented that it is in a good position for further acquisitions with a cash balance of $16.8m at 31 December and positive working capital of $20m.
“We have reviewed the Gulf of Mexico and international markets during this past year and will continue these efforts during 2018 in order to identify investment prospects in offshore service-providers with commercialised offshore technologies which have been able to maintain strong customer relationships,” said Payne.
As of 1535 GMT, Nautilus Marine Services' shares were up 2.86% at 9.00p.