Kuala Lumpur: Bumi Armada Bhd’s net profit fell 44 per cent to RM85.62 million for the third quarter (Q3) ended Sept 30, 2020, from RM153.38 million a year earlier, partly due to lower vessel availability for Armada Kraken floating production, storage and offloading (FPSO) vessel arising from a planned shutdown in September.Further, the group’s share of results of joint ventures and associates swung to a loss of RM0.47 million from a profit of RM54.75 million in last year’s corresponding quarter.
In terms of operating profit before impairment, it declined only 11 per cent year-on-year to RM222.05 million, the offshore energy facilities and services provider said.
Meanwhile, revenue for the quarter rose to RM564.44 million from RM527.81 million a year earlier, it said in a filing with Bursa Malaysia Thursday.
For the nine-month period, the group posted a net loss of RM18.58 million against a net profit of RM293.79 million in the same period last year despite recording a higher revenue of RM1.72 billion during the period from RM1.56 billion previously.
It attributed the loss to impairment on vessels recognised in the current financial year.
Bumi Armada said as at end of Q3 2020, the company’s order book stood at RM17.2 billion with additional optional extension of up to RM10 billion.
On prospects, it said the company was not expecting oil prices to strengthen significantly over the next three months due to the global economic turmoil and on-going concerns over the Covid-19 pandemic.
“The company expects the floating production and operations business to be relatively stable through to the end of 2020 while the offshore marine services business is anticipated to be weaker,” it added.
