Penguin International

[brattzz]

Worsening sentiments in the marine and offshore industry, marked by falling vessel utilisation and charter
hire rates, have dampened demand for the Group's crewboats and Fast Supply Intervention Vessels.
Anticipating the industry slowdown, the Group had earlier reduced the number of Flex crewboats built for
sale and charter, while moderating its pace of production and reducing overall costs.
The decrease in trade receivables and other receivable was due mainly to timing of collections during the
period.
The decrease in trade payables and other payables and accruals was due mainly to timing of payment made
during the period.
Mindful of the challenging market conditions, the Group will keep a tight rein on expenditures and
investments, while continuing its ongoing programme of developing niche high-speed vessel designs
targeted at profitable market segments in addition to crewboats. This includes passenger ferries and patrol vessel.