SapuraKencana Petroleum has seen its profits increase some 22 percent in the third quarter ended October 31, 2016, on new contract wins, lower tax, and no impairment charges when compared with the corresponding period in 2015.
Despite about 24 percent drop in revenue, the company recorded profit of 158 million Malaysian ringgits ($35.6 million) or RM 2.66 per share, versus 130 million Malaysian ringgits ($29.3 million) or RM 2.17 same time last year.
The company generated revenues of approximately $496 million, or 2.2 billion ringgit, down from $652 million, or 2.9 billion ringgit from the year-ago quarter.
For the nine months of 2016, revenues decreased close to 27 percent at 5.84 billion ringgit, against 7.95 billion ringgit for the nine months of 2015.
Net profit for the nine months of 2016 was at 380 million ringgit ($85.7 million), a drop from 495 million ringgit ($111.7 million) for the nine months of 2015.
Shahril Shamsuddin, the company’s president and CEO, said: “While the industry outlook remains uncertain in the short term, there are now early indications that oil price is heading towards a path of relative stability in the medium term. In the short term, competition for work will remain intense and margin pressures will likely to continue through into the next year.”
Subsea World News Staff