THE Malaysia International Shipping Corporation's (MISC) first quarter operating profit declined 44 per cent to MYR383.4 million (US$96.3 million) year on year, drawn revenues of MYR2.02 billion, which fell 47.7 per cent.
The Petronas subsidiary's decline was blamed on the offshore segment, as last year's corresponding quarter included recognition of one-time gain for Gumusut-Kakap Semi-Floating Production System (L) Limited ("GKL") from variation works following favourable adjudication decision.
Lower freight rates in the petroleum segment and lower number of operating vessels and charter rate from contract renewal in the LNG segments further dampened revenue.
Furthermore, the heavy engineering segment also recorded lower revenue mainly due to completion of projects, while new secured projects are still at their early stages.
Said MISC president and CEO Yee Yang Chien: "2018 is expected to be another difficult year, but the recovery of oil price will benefit the offshore sector
Source: SchednetPrevious Next