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1. Company Snapshot

1.a. Company Description

Gulf Marine Services PLC, together with its subsidiaries, operates self-propelled self-elevating support vessels (SESVs) in the United Arab Emirates, Saudi Arabia, Qatar, the United Kingdom, and rest of Europe.It operates through K-Class Vessels, S-Class Vessels, E-Class Vessels, and Other Vessels segments.The company offers offshore construction and heavy lifting, accommodation and hotel, well intervention and work over operations, and manpower services for oil and gas industry; and platform maintenance and commissioning, turbine maintenance and commissioning, hotel, crane, and offshore crew transfer services to renewables industry.


It operates a fleet of 13 SESVs. The company was founded in 1977 and is headquartered in Abu Dhabi, the United Arab Emirates.

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1.b. Last Insights on GMS

Gulf Marine Services' recent performance was impacted by challenges in the offshore market, characterized by reduced activity levels and pricing pressure. The company's fleet utilization rates faced downward pressure, affecting revenue growth. Additionally, increased competition and a challenging macroeconomic environment likely posed headwinds. With no recent earnings release or announcements on new products, acquisitions, or legal issues, the company's short-term prospects appear cautious. According to a recent rating downgrade by Berenberg, the stock's prospects are viewed with skepticism.

1.c. Company Highlights

2. Transcript Summary

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3. NewsRoom

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Investors in Gulf Marine Services (LON:GMS) have seen splendid returns of 149% over the past three years

Sep -11

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Gulf Marine Services PLC (LON:GMS) is a favorite amongst institutional investors who own 53%

Jul -05

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Gulf Marine Services Full Year 2024 Earnings: EPS Beats Expectations

Apr -10

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Gulf Marine Services (LON:GMS) shareholders have earned a 59% CAGR over the last three years

Oct -03

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Private companies account for 57% of Gulf Marine Services PLC's (LON:GMS) ownership, while institutions account for 25%

Jun -04

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Investors in Gulf Marine Services (LON:GMS) have seen enviable returns of 390% over the past year

Apr -22

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Gulf Marine Services PLC's (LON:GMS) Stock's On An Uptrend: Are Strong Financials Guiding The Market?

Apr -05

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Why The 41% Return On Capital At mobilezone holding ag (VTX:MOZN) Should Have Your Attention

Mar -10

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (5.53%)

6. Segments

E - Class Vessels

Expected Growth: 5%

Gulf Marine Services PLC's E-Class Vessels growth is driven by increasing demand for offshore oil and gas exploration, rising energy prices, and growing investment in renewable energy. Additionally, the company's strategic expansion into new markets, fleet modernization, and cost optimization initiatives contribute to its 5% growth.

K - Class Vessels

Expected Growth: 5.5%

The 5.5% growth of K-Class Vessels from Gulf Marine Services PLC is driven by increasing demand for offshore oil and gas exploration, rising energy prices, and growing investments in renewable energy. Additionally, the company's strategic expansion into new markets, fleet modernization, and operational efficiency improvements also contribute to this growth.

S - Class Vessels

Expected Growth: 6.5%

Gulf Marine Services PLC's S-Class Vessels growth is driven by increasing demand for offshore oil and gas exploration, rising energy prices, and growing investment in renewable energy. Additionally, the company's strategic expansion into new markets, fleet modernization, and cost optimization initiatives contribute to the 6.5% growth rate.

7. Detailed Products

Self-Elevating Support Vessels (SESVs)

Gulf Marine Services PLC provides Self-Elevating Support Vessels (SESVs) that offer a stable and versatile platform for a wide range of offshore operations, including well intervention, maintenance, and construction.

Maintenance Vessels

The company's Maintenance Vessels are designed to provide a range of services, including accommodation, catering, and maintenance support, to offshore platforms and facilities.

Accommodation Vessels

Gulf Marine Services PLC's Accommodation Vessels offer comfortable and safe living quarters for personnel working on offshore projects, with amenities such as dining, recreational, and medical facilities.

Construction Support Vessels

The company's Construction Support Vessels are equipped to support a range of offshore construction projects, including pipeline laying, platform installation, and wind farm construction.

Well Intervention Vessels

Gulf Marine Services PLC's Well Intervention Vessels are designed to support a range of well intervention operations, including coiled tubing, wireline, and pumping services.

8. Gulf Marine Services PLC's Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for Gulf Marine Services PLC is moderate due to the availability of alternative services and products in the market.

Bargaining Power Of Customers

The bargaining power of customers is high due to the presence of large and established customers in the industry, giving them significant negotiating power.

Bargaining Power Of Suppliers

The bargaining power of suppliers is low due to the presence of multiple suppliers in the market, reducing their negotiating power.

Threat Of New Entrants

The threat of new entrants is moderate due to the presence of barriers to entry, such as high capital requirements and regulatory hurdles.

Intensity Of Rivalry

The intensity of rivalry is high due to the presence of several established players in the market, leading to intense competition.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 46.02%
Debt Cost 11.36%
Equity Weight 53.98%
Equity Cost 13.79%
WACC 12.67%
Leverage 85.26%

11. Quality Control: Gulf Marine Services PLC passed 2 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Schoeller-Bleckmann Oilfield Equipment

A-Score: 5.6/10

Value: 7.6

Growth: 5.4

Quality: 5.0

Yield: 6.9

Momentum: 3.0

Volatility: 6.0

1-Year Total Return ->

Stock-Card
Aker Solutions

A-Score: 5.1/10

Value: 8.5

Growth: 6.2

Quality: 5.8

Yield: 6.9

Momentum: 0.5

Volatility: 2.7

1-Year Total Return ->

Stock-Card
TGS

A-Score: 4.5/10

Value: 6.8

Growth: 4.3

Quality: 3.9

Yield: 8.8

Momentum: 0.5

Volatility: 2.7

1-Year Total Return ->

Stock-Card
Gulf Marine Services

A-Score: 4.2/10

Value: 8.8

Growth: 3.1

Quality: 6.7

Yield: 0.0

Momentum: 4.0

Volatility: 2.3

1-Year Total Return ->

Stock-Card
Edda Wind

A-Score: 3.7/10

Value: 6.0

Growth: 3.1

Quality: 2.3

Yield: 0.0

Momentum: 6.0

Volatility: 5.0

1-Year Total Return ->

Stock-Card
PGS

A-Score: 2.7/10

Value: 8.2

Growth: 2.1

Quality: 1.6

Yield: 0.0

Momentum: 4.0

Volatility: 0.3

1-Year Total Return ->

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

0.16$

Current Price

0.16$

Potential

-0.00%

Expected Cash-Flows