PETALING JAYA: The floating production storage and offloading (FPSO) Berantai offshore transportation and installation (T&I) contract T7 Global Bhd
has secured from Vestigo Petroleum Sdn Bhd is worth about RM100mil, Phillip Capital Research estimates.
Assuming three quarters of recognition in 2026 and a 4% net profit margin – below its 6% historical levels to reflect its first T&I project – the brokerage forecasts the contract to contribute around RM3mil in earnings.
This represents roughly 6% of the research house’s 2026 earnings forecast for T7 Global.
The scope of work under the contract includes the disconnection and towage of FPSO Berantai to dry dock for maintenance, followed by its reinstallation and commissioning to restore full operational capability in compliance with industry safety and environmental standards.
The work order period commences from March 18, 2026 to March 17, 2027.
However, the research house kept its earnings forecasts unchanged for T7 Global and maintained its “hold” call on the stock with an unchanged sum-of-parts derived target price of 28 sen a share, which implies a five times 2026 price earnings multiple.
“We continue to view T7 Global as a beneficiary of sustained domestic and offshore activities, underpinned by its healthy RM4bil order book which provides long-term earnings visibility,” Phillip Capital Research stated in a report on the company following the T&I contract win.
For the fourth quarter ended Dec 31, 2025 (4Q25), T7 Global recorded a revenue of RM193mil, marking an 2% increase from 4Q24.
The group registered a profit before tax (PBT) and profit after tax (PAT) of RM23.1mil and RM 11.2mil, respectively.
For the cumulative 12 months, the group recorded its highest ever revenue of RM721.2mil, representing an 11.2% growth year-on-year.
Moreover, the group achieved a PBT of RM69.2mil, while PAT grew by 4%, reaching RM47.1mil.
In a statement, T7 Global said the energy segment remained the key contributor following a 51.6% increase in turnover, accounting for 76.9% of the group’s total revenue.
Executive director Tan Kay Zhuin said in the statement that the group secured multiple maintenance, construction and modification, as well as hook-up and commissioning contracts in 2025, which have since transitioned into significant top-line contributors.
“Our energy segment remains our primary growth engine, and we are particularly encouraged by the momentum in our well services division,” he added.
