Hong Kong-listed Brightoil Petroleum predicted that the group is expected to record an increase in profit during the fiscal year ended 30 June compared with last year.
The anticipated increase of profit was due to the improvement of overall business sectors of the group, a stock filing of the company said.
For the six months ended 31 December 2014, Brightoil Petroleum’s profit rose 3% year on year (y/y) to HKD561.1 million (USD72.4 million), because of gains in fair value of derivative financial instruments.
Its revenues also increased 11% y/y to HKD44.9 billion during the same period. Revenue increased across three core business segments of international trading and bunkering, marine transportation, and upstream gas business.
For the period under review, while the group suffered a gross loss of HKD170.2 million, the fair value change of derivative financial instruments recorded a gain of HKD1.6 billion.
For its international trading and bunkering business, the profit fell 64% y/y to HKD171.7 million, with revenue up 8% y/y to HKD43.0 billion.
The profit for its marine transportation business totalled HKD102.8 million while it posted losses of HKD6.8 million in the six months ended 31 December 2013. The revenue for the business grew 18% y/y to HKD644.2 million.