Malaysia-listed offshore services provider Petra Energy posted a MYR14.9 million (USD3.6 million) for the second quarter ended 30 June 2015 (2Q15), almost double the profit of MYR8 million in 2Q14.
Revenue went up by 29% year-on-year to MYR164.6 million in 2Q15 compared with revenue of MYR127.4 million in 2Q14. The higher revenue was attributed to the positive contribution from the Petra Energy’s services segment, which was awarded a contract to provide hook-up, commissioning, and topside major maintenance to Malaysia-based oil company Petronas Carigali.
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The company’s marine assets segment also recorded higher revenue of MYR8.3 million in 2Q15 from MYR1.4 million in 2Q14. Correspondingly, the segment also posted higher profit before taxation of MYR3.3 million in 2Q15 as compared with MYR1.1 million in the corresponding quarter of 2014. However, the segment’s results were affected by the higher depreciation charged in 2Q15 due to capitalisation of dry docking costs.
“Global oil prices reached new lows in January 2015, and oil prices are expected to stay depressed compared with the recent past,” Petra Energy said in its filing to the Bursa Malaysia. “This was exacerbated by Malaysian ringgit devaluation against the United States dollar commencing from mid 3Q14.”
The company will therefore undertake key measures to manage costs and operational expenditures in its efforts to increase shareholder value. In the meantime, Petra Energy will seek to grow its current business by aggressively exploring opportunities up the oil and gas value chain for new revenue streams.