The liquified natural gas (LNG) shipper, which is also involved in heavy engineering, announced on Thursday there was a net gain on acquisition of subsidiaries of RM847.3mil.
However, group revenue fell 8% to RM2.39bil from RM2.60bil. Group operating profit fell 25.6% to RM500.3mil from RM672.1mil. Earnings per share were 30.2 sen compared with 16.7 sen.
MISC said its LNG revenue fell 7.5% to RM626.9mil from RM677.7mil mainly from operating a smaller fleet of vessels and lower charter rates earned on new contracts in the current quarter.
LNG operating profit fell 38.1% to RM251.7mil from RM406.7mil mainly from lower revenue and higher depreciation by RM29.3mil from the change in estimated useful life of vessels from January 2016.
Petroleum revenue rose 1.2% to RM1.165bil from the RM1.152bil, mainly due to strengthening of US dollar against the Ringgit. Petroleum operating profit fell 61.4% to RM58mil from RM150.2mil mainly due to higher depreciation by RM75.9mil from the change in estimated useful life of vessels since January 2016.
MISC said its offshore revenue slipped 5.9% to RM213.9mil from RM227.3mil a year ago. With the completion of the 50% equity buyback of GKL on May 13, 2016, GKL’s results have been fully consolidated.
Its offshore operating profit rose 67.9% to RM166.6mil from RM99.2mill mainly due to higher profit from GKL.
Heavy engineering's revenue fell 49.6% to RM241.1mil from RM478.5mil, mainly due to fewer and lower value of projects in progress and also lower number of rig repairs and conversion works.
Heavy Engineering recorded an operating loss of RM400,00 versus profit of RM19.2mil a year ago.
Its "others" segment recorded an operating profit of RM24.4mil versus an operating loss of RM3.2mil a year ago mainly due to profit contribution from PMSSB Group following its acquisition in July 2015.
For the six months ended June 30, 2016, its earnings rose 55.7% to RM1.92bil from RM1.23bil in the previous corresponding period.
MISC's revenue fell 6% to RM4.787bil from RM5.090bil but group operating profit rose 30% to RM1.476bil from RM1.135bil.
It said its "others" segment recorded operating profit of RM198.8mil verus an operating loss of RM57.3mil a year ago, mainly due to RM250.8mil reversal of provision for a legal suit in the current period.
Did you find this article insightful?