MISC has announced its financial results for the third quarter ended 30 September 2015 with group revenue for the quarter of RM2,505.6 million being 14.9% higher than RM2,180.3 million in the corresponding quarter.
The increase in Group revenue was mainly due to improved freight rates in the Petroleum business. However, a smaller fleet of operating vessels in Chemical business, lower earning days in LNG business and different phases of project construction in Heavy Engineering caused declines in revenue of the respective businesses in the current quarter.
Group operating profit of RM618.9 million was 27.4% higher than the corresponding quarter's profit of RM485.8 million, mainly from higher revenue in Petroleum coupled with improvement in charter rates in Chemical business. However, LNG business recorded lower operating profit from lower revenue while additional provision for cost to complete an ongoing project caused a decline in Heavy Engineering operating profit.
Group profit before tax of RM519.3 million was higher than the RM510.5 million profit in the corresponding quarter. This is achieved in spite of taking impairment provision of RM232.3 million in the current quarter.
Group revenue for the cumulative 9-months ended 30 September 2015 of RM7,596.3 million was 8.4% higher than the RM7,009.5 million revenue for the corresponding 9-month period.
Improved freight rates in Petroleum business, revenue recognised from an EPC project in the current period and finance lease income contribution of an FPSO unit which commenced in September 2014 were the main contributors to the increase in Group revenue. However, a smaller fleet of operating vessels in Chemical business, lower earning days in LNG business and different phases of project construction in Heavy Engineering caused declines in revenue of the respective businesses in the current 9-month period.
Group operating profit of RM1,754.4 million was 27.8% higher than corresponding period’s profit of RM1,372.5 million, mainly from higher revenue in Petroleum and Offshore businesses and lower operating costs from operating a smaller fleet of vessels in Chemical business. Meanwhile, LNG business recorded lower operating profit from lower revenue while additional provision for cost to complete an ongoing project caused a decline in Heavy Engineering operating profit.