KUALA LUMPUR: Southeast Asia's largest independent power producer Malakoff Bhd posted a 30.1% increase in net profit to RM83.49mil in the third quarter ended Sept 30, 2018.
It announced on Friday its earnings had increased from RM64.17mil a year ago. Earnings per sahre were 1.7 sen compared with 1.28 sen.
Commenting on the results, Malakoff said its revenue increased by 5% to RM1.91bil from RM1.82bil a year ago.
It cited the higher revenue was mainly due to higher energy payment recorded from Tanjung Bin Power Sdn. Bhd. (TBP) coal plant on the back of higher applicable coal price.
Another factor was that Segari Energy Ventures Sdn Bhd (SEV) had received the approval for higher dispatch factor and increase in natural gas tariff under the extended Power Purchase Agreement (PPA).
However, these were partially offset by lower energy and capacity payment at Tanjung Bin Energy Sdn. Bhd (TBE) due to plant outage.
In terms of profit, it said profit before taxation fell by 22.3% to RM165.4mil from RM212.9mil a year ago mainly due to the compensation payment received from settlement of dispute with IHI over TBP’s boiler failure a year ago and lower contribution from TBE due to the plant outage.
Malakoff said however, these were partially moderated by gain from the disposal of the Company’s 20% equity interest in Lekir Bulk Terminal Sdn Bhd, lower depreciation of C-inspection costs as a result of revision in the useful lives of C-inspection for gas plants as well as lower operation and maintenance costs.
For the nine months, its net profit fell 29% to RM188.95mil from RM266.22mil in the previous corresponding period. Its revenue rose 2.3% to RM5.46bil from RM5.33bil.