Petronas Gas Q1 earnings up 4.3%

PETALING JAYA: Petronas Gas Bhd's (PetGas) net profit for the first quarter ended March 31, 2018 increased 4.3% to RM483.22 million from RM463.24 million a year ago, on the back of higher revenue.
Revenue grew by 15.5% to RM1.35 billion compared with RM1.17 billion in the previous year's corresponding quarter, mainly contributed by the group’s new LNG regasification terminal in Pengerang, Johor, which commenced commercial operations in November 2017. This was further supported by higher revenue from all segments.
It also announced a first interim dividend of 16 sen per share, amounting to RM316.6 million in respect of the financial year ending Dec 31, 2018.
PetGas said the Energy Commission has confirmed that the current tariffs for the group’s gas transportation and regasification services will be maintained until end of 2018.
"The group is in continuous discussion with Energy Commission to finalise the tariff guidelines for gas transportation and regasification services beyond 2018. The group’s performance is therefore expected to remain stable on the back of its strong and sustainable income streams from existing Gas Processing Agreement, Gas Transportation Agreements and Regasification Service Agreement signed with Petronas."
The group’s utilities segment will continue to contribute positively to the group’s results.
The group’s regasification segment results will benefit from full year contribution of the new LNG Regasification Terminal in Pengerang, Johor.