Commenting on its prospects, Malakoff said the group remained positive on the overall outlook for 2018 in line with the expected growth rate of 2% per annum in the nation
KUALA LUMPUR: Malakoff Corp Bhd posted a 51.5% year-on-year dropin fourth quarter earnings to RM43.72mil as bottomline was impacted by lower capacity payment at the Segari Energy Ventures' (SEV) gas plant and unscheduled plant outages at the Tanjung Bin Energy (TBE) plants.
The group said revenue for the financial quarter ended Dec 31, 2017, grew 4.7% to RM1.79bil due to higher energy payment at the Tanjung Bin Power (TBP) and TBE coal plants, although this was partially offset by the lower capacity payment at SEV.
In a filing with the stock exchange, the group said it expects performance to remain satisfactory for the coming financial year ending Dec 31,2018, as resilient domestic demand is expected to contribute towards the growth of the the energy and power industry.
"The group is well positioned to benefit from the projected demand with the successful commissioning of Tanjung Bin Energy (TBE) Thermal Power Plant in March 2016 which had added 1,000MW to the Group’s portfolio of power generation assets in Malaysia, increasing its net generation capacity to 6,346MW.
"The group will continue to pursue growth opportunities locally to expand its generation capacity especially the renewable energy segment. The Group will also continue to explore opportunistic investment overseas to complement its local generation business."
For the full year, Malakoff posted revenue of RM7.13bil, 16.9% higher compared with RM6.1bil in the previous financial year due to higher energy payment at the TBP and TBE coal plants on the back of higher applicable coal prices.
TBE also recorded higher capacity payment as it recorded 12 months' revenue for the year under review as compared with nine months' revenue for the previous financial year. However, this was partially offset by unscheduled plant outages.
Despite the higher revenue, net profit for the year was impacted by the lower capacity payment and fell 12.8% to RM309.95mil from RM355.46mil previously.
The group has proposed a final dividend of 3.7 sen a share, which if approved, will bring full-year dividend payout to 6.2 sen a share.
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