ASX-listed, Perth-headquartered Bhagwan Marine has secured a six-year extension of its long-term contract with the Port of Melbourne, valued at approximately $6 million per annum.
The contract will now continue until 30 June 2030, and covers the delivery of marine maintenance services, including fixed and preventative maintenance, reactive and variable services, minor capital works for the port’s marine structures and aids to navigation. In addition, Bhagwan says, there is potential to participate in other capital works programs for the port.
The cornerstone contract, which commenced in April 2019, marked Bhagwan’s entry into the Melbourne and greater Victorian market. The extension reflects the company’s strong operational performance, it says, and the strength of its partnership with the Port of Melbourne.
Bhagwan’s established presence in the region also provides a platform for further expansion into emerging growth markets, including oil and gas decommissioning and offshore wind, MD and founder Loui Kannikoski said.
“We’re proud to continue supporting the Port of Melbourne in managing its critical marine infrastructure. This extension reflects the capability of our team and operational excellence and the trusted relationship we’ve built over many years.”
Bhagwan has up to ten vessels, ranging from dive launches and utility vessels to tugs and barges, based at the Short Road Pile Depot compound on the banks of the Yarra downstream of the West Gate Bridge and has continually expanded its local fleet since 2019.
Bhagwan was founded by the Kannikoski family in Geraldton in 2000. It listed on the ASX in July last year following a successful IPO. The Kannikoskis hold over 40% of the company.
Releasing its 1H 2025 results at the end of February, Bhagwan announced record revenue and earnings, driven by ongoing strength across its diversified core business and progress with expansion into new growth sectors.
Record revenue: $154.1 million, up 41% (1H24: $109.5 million) • Record pro forma EBITDA: $27.3 million, up 32% (1H24: $20.6 million) • Statutory EBITDA: $26.6 million, up 27% (1H24: $21.0 million) • Net cash from operations: $21.0 million, up 64% (1H24: $12.8m) • Net debt: $11.5 million (30 June 2024 $81.4 million – proceeds from IPO allocated in line with Prospectus).
Leave a Reply