Malakoff posts RM99mil net loss for 1Q23


Tanjung Bin Energy Power Plant

KUALA LUMPUR: Malakoff Corp Bhd expects challenges to the overall performance for the financial year ending Dec 31, 2023 (FY23) given the declining trend in the global coal prices which is estimated to continue in the medium term of 2023.

Nonetheless, independent power producer said it would continue to to optimise its plants operational efficiencies to cushion the adverse impact.

Malakoff has been making steady headway in its solar business as the partner-of-choice and has been awarded new rooftop solar projects totalling 2.77MWp.

It has recently entered into a heads of agreement for three hydroelectric renewable energy plants namely Kemubu Small Hydropower Plant (SHP) of 29.0MW, Kuala Geris SHP of 25.0MW, and Serasa SHP of 30.0MW, all located in the District of Kuala Krai, Kelantan.

“The project will add a capacity of 84.0MW to the group’s renewable energy (RE) portfolio and is expected to provide the group with a steady income flow,” Malakoff said in a Bursa filing.

In the first quarter ended March 31, Malakoff posted a net loss of RM99.1mil against a net profit of RM27.5mil a year ago.

It posted a loss per share of 2.03 sen for the quarter from 0.56 sen last year.

The lower profit was due to to substantial negative fuel margin recorded at Tanjung Bin Power Sdn Bhd (TBP) and Tanjung Bin Energy Sdn Bhd (TBE) coal plants impacted by higher weighted average fuel costs, lower share of profit from associates and joint ventures as well as higher operating insurance costs.

Revenue, however, rose 21% to RM2.3bil against RM1.9bil previously, primarily due to higher energy payments recorded from TBP and TBE on the back of the higher applicable coal price.

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Malakoff , Tanjung Bin , renewable energy , solar

   

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