KUALA LUMPUR (Aug 15): Dialog Group Bhd (KL: DIALOG) posted a net profit of RM138.4 million for its fourth quarter ended June 30, 2024 (4QFY2024), up 9% from RM126.8 million a year earlier, driven by increased production from its upstream activities.

Earnings per share improved to 2.45 sen from 2.25 sen, the oil and gas (O&G) services firm said in a bourse filing on Thursday.

Quarterly revenue rose 17.4% year-on-year (y-o-y) to RM810.1 million from RM690 million.

The group declared a final dividend of 2.8 sen for the quarter, bringing the total dividend payout for FY2024 to 4.3 sen, compared with 3.7 sen in the previous year.

For the full year, Dialog's net profit increased 12.6% to RM575 million from RM510.5 million in FY2023, as revenue grew 5% to RM3.15 billion from RM3 billion.

Looking ahead, Dialog said it plans to expand its upstream activities by rejuvenating and developing O&G fields, with opportunities to provide engineering and technical services.

In the midstream sector, Dialog will continue expanding its capacity, particularly at Pengerang Deepwater Terminals, aiming to grow sustainable and recurring income.

"In the downstream business, we will continue to leverage our strengths and established track record in integrated technical services," the group said, adding that thorough risk assessments will be conducted for new projects given current global uncertainties.

Additionally, the group is investing RM250 million in expanding its fabrication facilities in Pengerang and has entered the renewable fuel storage market under Dialog Terminals Langsat 3, with new facilities expected to be operational by 2024 and 2026.

Barring any unforeseen circumstances, the group said it is optimistic about its positive performance in FY2025.

Shares in Dialog settled five sen or 1.97% lower at RM2.49 on Thursday, giving the group a market capitalisation of RM14.06 billion. The counter has climbed 21% since the beginning of the year.