KUALA LUMPUR: Keyfield International Bhd
expects overseas revenue to grow steadily over the coming quarters, while local revenue is projected to improve significantly from the first quarter.
“As local offshore activities pick up, our revenue and operational profits for the upcoming quarters are also expected to improve accordingly.
“Our recently acquired Dynamic Positioning 2 Accommodation Workboat (DP2 AWB), Keyfield Harmony (formerly known as Carimin Acacia), has already completed its dry-docking for special survey and commenced its charter in March 2026, contributing to our revenue and profits from 1Q2026 onwards,” the offshore accommodation vessel provider in a statement.
In the first quarter ended March 31, Keyfield’s net profit more than doubled to RM56.1mil, or earnings per share of 6.94 sen compared with RM20.7mil, or 2.57 sen in the year-ago quarter.
Revenue, however, fell 45.6% to RM47.2mil against RM86.7mil previously.
Its first-quarter 2026 results included a gain from the disposal of Keyfield Compassion, which was delivered to the buyer in February 2026, resulting in an after-tax disposal gain of about RM78mil.
Keyfielf said a special dividend of two sen had already been paid in March 2026 following the disposal, while the board has approved another dividend of one sen for the first quarter of 2026, payable on June 16, 2026 to shareholders on the record of depositors as at June 3, 2026.
Group chief executive officer Datuk Darren Kee said the first quarter is typically the group’s weakest operational quarter due to the seasonal monsoon in the South China Sea, during which most offshore activities, particularly maintenance work, are not carried out.
“For 2026, the situation was exacerbated by the fact that many of our local chartering projects, which had already been secured earlier, have only commenced in the April – May window, in line with customers’ vessel scheduling requirements.
“As a result, vessel utilisation was lower, which in turn affected our revenue and operational profits during this period. We also incurred higher off-hire expenses such as crew and fuel costs, berthing fees, repairs and maintenance during this period,” he said.
The group recorded a fleet utilisation rate of 36.1% in the first quarter of 2026, with vessels operating in Malaysia, the Middle East and Thailand.
Overseas operations accounted for about half of total quarterly revenue, primarily due to the group’s strategic redeployment of several vessels outside the local market.
Kee said four out of the group’s five vessels currently deployed in the Middle East continued to generate daily revenue, while the remaining vessel is expected to commence hire after completing preparatory works and inspections.
“Amidst the ongoing armed conflict in that region, our vessels remain on-hire as their main function is to support offshore activities and not to transport cargo through the Strait of Hormuz,” he said, adding that over the medium and longer term, the group believes its business prospects remain positive and resilient, with confidence that its recent strategic initiatives will bear fruit.
