The board of directors has approved a first interim dividend of 16 sen per ordinary share amounting to RM316.6mil in respect of the financial year ending Dec 31, 2019.
Its revenue for the quarter rose 1.2% to RM1.37bil against RM1.35bil in the same quarter last year. Earnings per share for the quarter stood at 26.05 sen versus 24.42 sen a year ago.
“The higher revenue was attributable to higher revenue from gas processing and utilities segments arising from improved reservation charge under the 2nd term gas processing agreement and higher prices following upward fuel gas price revision respectively.
“These offset the impact under Incentive Based Regulation (IBR), for the gas transportation and regasification segments,” PetGas said in the notes accompanying its financial results.
Its profit before tax stood at RM670mil, an increase of 5.2% or RM33mil on unrealised foreign exchange gain on translation of US dollar denominated lease liabilities and higher share of profit from a joint venture company following the completion of the group’s air separation unit project in Pengerang, Johor, amidst lower gross profit attributable mainly to the gas transportation and regasification segments.
PetGas said its plants and facilities continued to perform strongly, at close to 100% reliability during the quarter.
The group’s gas processing plants maintained its world class operating performance, comparable to corresponding quarter. Segment revenue grew by 7.7% or RM30.3mil driven by higher reservation charge under the 2nd term Gas Processing Agreement effective Jan 1.
Its gas transportation’s segment revenue decreased by 13.2% or RM44mil in line with lower gas transportation tariff under IBR pursuant to third party access. As announced on Dec 31, 2018, the new tariff will be applicable from Jan 31 to Dec 31, 2019.
The group’s LNG regasification terminals in Sg. Udang, Melaka (RGTSU) and Pengerang, Johor (RGTP) sustained their strong reliability performance at close to 100% during the quarter.
PetGas said revenue from LNG regasification segment was comparable at RM302.3mil against corresponding quarter as decrease in revenue from RGTP was offset by higher revenue from RGTSU. Segment results declined by 9.4% or RM16.3mil with higher depreciation upon recognition of jetty facilities at RGTP.
On its utilities, the segment revenue for the quarter rose by 8.6% or RM27.8mil in line with higher prices driven by upward revision of fuel gas price in July 1, 2018 and Jan 1, coupled with additional surcharge on national electricity tariff.