Third quarter net profit at offshore engineering and repair Malaysia Marine and Heavy Engineering (MMHE) plummeted despite firm improvement to revenue due to higher than expected operating costs, Seatrade Asia online reports.
The Kuala Lumpur-listed company posted third quarter profit of MYR8.06m ($2.64m), a plunge of 90% from MYR80.23m in the same period of 2011.
Revenue during the quarter, on the other hand, jumped 83.1% year-on-year to MYR847.78m.
Looking ahead, MMHE said the acquisition of an additional yard in Pasir Gudang and ongoing investment to enhance its yard facilities will ensure it is well positioned to benefit from the positive business environment, especially for deepwater projects.
“The renewed focus on domestic E&P development and enhanced oil recovery initiatives, has resulted in more projects expected to be put into the development phase,” the company said.
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