Our shipyard of our subsidiary company, Muhibbah Marine Engineering Sdn Bhd, located at Telok Gong, Port Klang is one of the very few local shipyards shortlisted by Petroliam Nasional Bhd (“Petronas”) to undertake the construction of new offshore support vessels under the Petronas’s New Build Program, known as Safina Phase 1.
IN view of its ageing fleet of offshore support vessels (OSVs) for the oil and gas (O&G) industry, Petroliam Nasional Bhd (Petronas) has recently put out to tender the building of 16 such vessels.
It is understood that this is just the first batch of contracts up for grabs. The national oil firm’s plan is to build 100 vessels in four years — a move to phase out its old vessels, according to industry sources.
REVIEW OF GROUP PERFORMANCE (YTD 2023 vs. YTD 2022) The Group reported higher consolidated revenue (including share of associates' revenue) of RM278.2 million with higher profit before tax of RM12.8 million for the financial period ended 31 March 2023 as compared to consolidated revenue (including share of associates' revenue) of RM219.2 million and profit before tax of RM1.3 million respectively for the corresponding year ended 31 March 2022.
The improvement is mainly contributed by Concession division with the increase in airport passengers following China boarder reopening in January 2023 and better performance from Cranes division.
COMPARISON WITH PRECEDING QUARTER RESULTS (Q1 2023 vs. Q4 2022) The Group reported lower consolidated revenue (including share of associates' revenue) of RM278.2 million as compared to RM343.2 million in the preceding quarter mainly due to lower revenue from Cranes mitigated by higher sales from Infrastructure Construction division and Concession division in the current quarter.
This quarter reported higher profit before tax of RM12.8 million as compared to RM10.5 million in the preceding quarter mainly contributed by Concession division and also better performance from Infrastructure Construction division with commencement work for new projects secured.
GROUP'S PROSPECT a) Secured Order Book As at 22 May 2023, the Group's total outstanding secured order book in hand for the construction and cranes division is RM1,709 million.
b) Prospect The group had secured several oil & gas and building construction projects of total RM611 million over the last six months period.
Global oil & gas prices has recovered over last 2 years and hence the oil and gas investment is expected to move in an upward trend, including investments that reduce the greenhouse gas intensity of natural gas and its related infrastructure.
As such, there will be higher demand for offshore platform structures, offshore cranes, automation of offshore platforms systems and offshore support vessels from global market, which are the core businesses of Muhibbah Group's Construction, Cranes, Intelligent Automation and Shipyard Divisions respectively.
With the China boarder re-opening in January 2023, this has positive impact on airport traffic flow as compared to corresponding period last year. The airports concession is expected to have better performance as well.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
dompeilee
11,888 posts
Posted by dompeilee > 2023-02-14 14:52 | Report Abuse
Contract win also pomchet? What happened to the buying power? lol