Bumi Armada’s recovery on track

CGS-CIMB Research forecasts an average 3Q23 and 4Q23 core net profit of RM182mil each.

PETALING JAYA: CGS-CIMB Research has upgraded Bumi Armada Bhd to a higher target price of 75 sen from 65 sen as it expects the company to recover from the unexpected shutdown of its Kraken floating production storage and offloading (FPSO) vessel in the United Kingdom North Sea.

The first transformer failed in March 2023; the second failed in early-May 2023 and the third failed on May 29, 2023, all in a short span of time.