Singapore’s Marco Polo Marine has reported lower earnings for its financial year ended 30 September 2015 due mainly to the weakened market conditions.

Net profit for the full year was recorded at SGD8.52m ($6.03m), a decrease of 16% from the profit of SGD10.15m in the previous financial year.

Full year revenue for Singapore-listed Marco Polo Marine was down 17% year-on-year to SGD93.89m due mainly to lower contributions from the group’s ship chartering operations.

The company also noted that its shipbuilding and repair operations are expected to continue to be affected by the global subdued economic outlook and strong competition in the region.

“With oil prices continue to be volatile amidst uncertain political development and socio-economic conditions globally and at levels still significantly lower than what they were in the corresponding period last year, without a broad based recovery in sight and by no means certain against the backdrop of a tepid global economy, the offshore oil and gas E&P activities in the region are expected to continue to remain muted with sentiments and demands for offshore vessels to continue to be adversely impacted,” it commented.

“Amidst signs of weak market environment, the demands for tugboats and barges are also expected to continue to remain challenging.”

Meanwhile, Marco Polo Marine is embroiled in an ongoing legal case with Sembcorp Marine over the former’s unilateral cancellation of a rigbuilding contract.