Bumi Armada returns to black in Q4 with RM63.82 million net profit

PETALING JAYA: Bumi Armada Bhd swung to the black registering a net profit of RM63.82 million for the fourth quarter ended Dec 31, 2017 against a net loss of RM1.38 billion in the previous corresponding period on the back of more business activities and the absence of impairment charges.
Its revenue also surged six fold from RM106.25 million to RM662.15 million.
For the whole of 2017, Bumi Armada reported a net profit of RM352.25 million versus a net loss of RM1.97 billion, while revenue jumped 82.3% from RM1.32 billion to RM2.4 billion.
Bumi Armada's order book stood at about RM22.3 bilion as at end-2017, with additional optional extensions of up to RM12.5 billion.
Its CEO Leon Harland said 2017 was a transition year for the group as it delivered four new floating production and operation (FPO) projects, which were reflected in the financial results.
However, the offshore support vessel (OSV) business remains challenging as the group does not expect any major changes to the demand and supply situation in 2018.
For 2018, he expects Bumi Armada to move into a more stable phase as the current FPO and offshore marine services (OMS) activities remain fairly consistent.
"We remain focused on building a robust business model and we want to complete our internal rationalisation activities and improve our balance sheet structure. We also look for growth and explore new projects that we feel suit Bumi Armada from a strategic position, as well as balance the appropriate rewards with the risks involved."
At the noon break, Bumi Armda's share price was unchanged at 85.5 sen on some 3.64 million shares done.