KUALA LUMPUR: Malakoff Corp Bhd’s net profit for the second quarter ended June 30, 2019 dipped 0.57% to RM52.25 million compared with RM52.55 million a year ago primarily attributed to lower contribution from Tanjung Bin Energy Sdn Bhd (TBE) coal plant as a result of the plant’s 73-day scheduled maintenance outage and rectification works as well as lower contributions from associates investments.
The group recorded RM1.81 billion in revenue, a 6.6% decrease from RM1.94 billion reported in the corresponding quarter last year, primarily due to lower energy payment recorded from TBE coal plant following the plant’s 73-day scheduled maintenance outage and rectification works performed from March 31, 2019 to June 12, 2019.
For the six months period (1H19), its net profit jumped 13.09% to RM129.25 million from RM105.45 million a year ago primarily attributed to improved contribution from TBE power plant, lower barging and demurrage costs following timely completion of the coal unloading jetty and lower net finance costs.
It recorded a revenue of RM3.82 billion, an increase of 7.7% compared with RM3.55 billion reported in the corresponding period of the preceding year primarily due to higher energy payment recorded from Tanjung Bin Power Sdn Bhd power plant on the back of higher applicable coal price.
The Malakoff board of directors also approved the payment of an interim dividend of 2.44 sen per share in respect of the financial year ending Dec 31, 2019.
Malakoff CEO Datuk Ahmad Fuaad Kenali said it will continue to focus on improving the efficiency of its power plants going forward. The group recently completed the 73-day scheduled outage at TBE power plant to undertake major rectification works. This is expected to increase the resilience and reliability of the power plant.
“As part of Malakoff’s strategic growth initiative, the recent acquisition of Khazanah Nasional Bhd’s stake in Shuaibah 3 Independent Water and Power Plant and Shuaibah 3 Expansion Independent Water Plant projects will increase the group’s overall power generation and water production capacity to 6,708MW and 544,375 m3/day, respectively,” he said in a statement.
