Velesto net profit halves in first quarter


The company said its quarterly revenue slipped to RM183.35mil in 1Q26 from RM224.65mil in the previous comparative quarter.

KUALA LUMPUR: Velesto Energy Bhd ramped up its utilisation rate and maintained perfect asset uptime in the first quarter of financial year 2026 (1Q26), which helped to offset the impact of a decreased daily charter rate.

“We anticipate potentially tighter rig market conditions driven by a renewed focus on energy security and higher capital expenditure by oil and gas operators in the region,” said president Megat Zariman Abdul Rahim in a statement.

In its latest results announcement, the group said net profit nearly halved to RM27.85mil in 1Q26 from RM52.61mil in the year-ago quarter as topline contracted on lower average daily charter rates.

It said quarterly revenue slipped to RM183.35mil in 1Q26 from RM224.65mil in the previous comparative quarter.

Average daily charter rates in the drilling segment fell to US$108,000 a day as compared to US$127,000 a day in 1Q25, although the decline was partially offset by improved utilisation of 75%, up from 67% the year-ago quarter.

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