KUALA LUMPUR: Petronas Gas Bhd
's Q2 net profit rose nearly 20% to RM509.33mil from RM425.33mil in the previous corresponding quarter as group revenue was boosted by the new LNG regasification terminal in Pengerang, Johor.
For the quarter under review, revenue grew 15.7% to RM1.36bil from RM1.17bil in the 2017 quarter.
The group has declared a second interim dividend of 16 sen a share payable on Sept 14, 2018.
Petronas Gas's regasification division was the main contributor to the results as segment revenue soared 88% to RM310.6mil due to the new regasification terminal, which came onstream in November 2017.
Segment gross profit more than doubled from RM73.4mil to RM177mil.
The group recorded increased revenue and profit contributions in all other segments of its business except for utilities.
Revenue in the utilities segment rose 5% in Q2 to RM308.3mil owing to the upwards revision of fuel gas prices on July 1, 2017 and Jan 1, 2018.
However, gross profit fell 5.4% due to higher utilities cost of sale and higher depreciation following the completion of several capital projects.
In the gas processing division, the group said liquid plant extraction performance exceeded targets resulting in higher tranches of performance based structure (PBS) income.
"As a result, segment revenue registered an increase of RM7.7 million or 2%. Accordingly, segment gross profit was higher by RM10.1 million or 6.3%, further supported by lower plant operating expenses," it said.
The gas transportation segment contributed 6.3% higher gross profit of RM256.6mil on the back of segment revenue that grew 5.1% to RM344.1mil.
In its filing with the stock exchange, Petronas Gas said its performance is expected to remain stable as the current tariffs for its gas transportation and regasification services will be maintained until end of 2018.
"The Group’s Regasification segment results will benefit from full year contribution of the new LNG Regasification Terminal in Pengerang, Johor," it added.
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