Velesto to see good charter rates continuing

Kenanga Research raised its F24 net profit forecast for Velesto by 4%.

PETALING JAYA: Velesto Energy Bhd is forecast to sustain its higher rig utilisation levels and charter rates in financial year 2024 (FY24) after its FY23 results beat analysts expectations.

Its FY23 core net profit of RM100.3mil (versus a net loss of RM100mil in FY22) beat market consensus by some 100%, largely due to higher-than-expected rig fleet utilisation rate (83%) and contained operating costs while the average daily charter rate (DCR) rose to US$94,000 from US$77,000.