KUALA LUMPUR – Bumi Armada Bhd posted a RM139.85 million net profit for the second quarter ended June 30, 2021, higher than the RM119.77 million recorded a year ago despite the recognition of impairment losses on vessels.
Revenue stood at RM615.55 million against RM606.79 million previously.
“The increase in the floating production and operation segment was mainly due to higher vessel availability for Armada Kraken FPSO (floating production storage and offloading), while the increase in revenue from the offshore marine services segment was partly due to higher offshore service vessel (OSV) utilisation in Q2 2021 compared with Q1,” said the company in a stock exchange filing.
Operating profit before impairment was consistent at RM279.2 million in Q2 compared with RM278.2 million in the previous quarter.
Bumi Armada said two OSVs were sold during the quarter in line with the group’s asset monetisation initiatives.
“Despite recognising a gain on sales of RM12.2 million, an impairment of RM103.7 million was recognised in relation to certain remaining vessels.”
The company’s order book at the end of June 30 amounted to RM14.9 billion, with additional optional extensions of up to RM9.5 billion.
Chief executive Gary Christenson said: “Our focus on operational excellence and cost efficiencies underpinned the solid financial performance in Q2 2021. We will continue to focus on safety, sustainability, operational excellence, and financial discipline.”
For the six months ended June 30, the firm’s net profit stood at RM302.65 million compared to a net loss of RM104.19 million, while revenue amounted to RM1.17 billion versus RM1.15 billion previously. – Bernama, August 27, 2021