Bumi Armada records higher net profit in Q1

Bumi Armada records higher net profit in Q1

KUALA LUMPUR: Bumi Armada Bhd’s net profit rose 28 per cent to RM62.21 million for the first quarter (Q1) ended March 31, 2019 compared with RM48.42 million in the same quarter last year.

Revenue, however, fell to RM491.61 million from RM600.34 million, it said in filing with Bursa Malaysia.

The Malaysian-based international offshore energy facilities and services provider said the decrease in revenue was mainly due to the completion of the LukOil project in the Caspian Sea in December 2018.

“Revenue contribution from the floating, production and operation (FPO) business decreased due to lower revenue from Armada TGT FPSO subsequent to the signing of the extension agreement in August 2018.

“The offshore marine services (OMS) revenue decreased due to Armada Installer and Armada Constructor completing their contracts at the end of 2018. The offshore support vessels (OSV) segment was unchanged in this quarter as fleet utilisation remained below 40 per cent,” it said.

Firm orderbook at the end of Q1 2019 was approximately RM19.3 billion with additional optional extensions of up to RM9.8 billion.

Executive director and chief executive officer Gary Christenson, in a statement, said, “Since the close of Q1 2019, the refinancing of our corporate debt has now been completed and we will monetise under-utilised assets to accelerate debt reduction.”

In addition, Bumi Armada is looking to stabilise the financial performances of the group through various efficiency and performance on Armada Kraken, selectively pursuing new FPO projects and strengthening the balance sheet to support growth going forward.

Tags assigned to this article:
bumi armadanet profit