KUALA LUMPUR: Marine & General Bhd reported revenue of RM83.1 million for the fourth quarter ended April 30, 2024, a 9.1% improvement over the figure in the preceding year’s corresponding quarter.
Fleet utilisation for upstream and downstream divisions was 77% and 75% respectively compared with 73% and 84% respectively recorded in the preceding year’s corresponding quarter.
The upstream division continued as the main contributor, generating 80% of the group’s revenue for the quarter, while the downstream division generated the remaining 20%.
During the fourth quarter, the group disposed of another tanker under the downstream division and recognised a gain of RM5.4 million. Considering the higher revenue recorded and gain from disposal of the tanker, the group recorded RM27.8 million profit before taxation compared to profit of RM48.6 million in the preceding year’s corresponding quarter. This reflects the lower net vessel impairment reversal during the quarter and higher vessel repairs incurred during the period.
For the cumulative 12-month period, the group recorded RM347.9 million revenue, reflecting a 13.2% increase over that recorded in the previous corresponding period. The increase was in line with higher charter activities and charter rates for both upstream and downstream divisions.
Although the group recorded higher revenue during the latest 12-month period, the results were affected by lower net vessel impairment reversal. Consequently, the group posted RM69.3 million profit before taxation in line with the profit of RM69.8 million registered in the preceding year.
“The upstream division looks forward to an active year ahead in line with Petronas’ positive outlook for its drilling and exploration activities as highlighted in its Activity Outlook for 2023-2025. The board expects the vessel utilisation and charter rate increase to continue in the next financial year, although at a slower rate than the current financial year,” executive chairman Tan Sri Mohammed Azlan Hashim said.
In the downstream division, Marine & General disposed of two aging vessels in the financial year under review and is looking at further fleet optimisation measures to achieve better utilisation and financial performance moving forward.
