• Yinson Registered a Core PAT of RM35.4 million for Q2FYE2016
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News release

KUALA LUMPUR, 29 September 2015 – YINSON HOLDINGS BERHAD (“Yinson” or the “Group”), Malaysia’s premier integrated offshore production and support services provider, today announced its second quarter results for its financial year ending 31 January 2016 (“Q2FYE2016”) with a revenue of RM231.5 million.

For the quarter under review, the Group posted a profit before tax (“PBT”) and profit after tax (“PAT”) of RM89.2 million and RM77.9 million respectively. These improved earnings are 127% and 149% higher respectively as compared to the previous corresponding quarter in its last financial year Q2FYE2015. The increase is primarily attributed to an unrealised foreign exchange gain of RM39.0 million and fair value gain on derivatives amounting to RM10.2 million. On an earnings per share basis, this translated to basic earnings of 7.34 sen per share.

In view of the Group’s core profit, Yinson has reported a PAT of RM35.4 million in the current financial period under review.

“We are optimistic that Yinson will be able to sustain healthy earnings. Moving forward, the Group will strive to sustain satisfactory results amid the challenging and uncertain landscape within the economy”, said Mr Lim Han Weng, the Group Executive Chairman.

The Group’s first half (“1HFYE2016”) cumulative revenue and PAT stood at RM488.0 million and RM88.6 million respectively. Yinson’s balance sheet position as at 31 July 2015 continued to remain strong with a total equity of RM1.8 billion.

Yinson continues to streamline its oil & gas business and enhance its strong balance sheet. The Group has been building a war chest from its recent corporate activities of private placement, divestment of non-oil & gas business and issuance of a USD100 million perpetual hybrid capital securities.

Project Updates

The Floating Production Storage and Offloading (“FPSO”) vessel in respect of the ENI Ghana Project with a contract value of up to USD3.256 billion is currently undergoing conversion and is scheduled for delivery by 2017.

Corporate Highlights for the First Half of the Year Ended 31 January 2016

  • On 17 June 2015, Yinson announced its final single tier dividend of 1.5 sen per ordinary shares of RM0.50 each in respect of the financial year ended 31 January 2015.
  • On 8 July 2015, Yinson listed a Private Placement of up to 103,279,844 placement shares, in which proceeds will be utilised for the repayment of bank loans and working capital.
  • On 30 July 2015, Yinson established a Joint Venture Company with Four Vanguard Servicos E Navegacao LDA (“FVSN”), for the purpose of acquiring a vessel owned by FVSN, which will be used in bidding for FPSO projects.
  • On 25 September 2015, Yinson successfully issued Malaysia’s first perpetual hybrid capital securities by way of private placement. The perpetual securities which has a total issuance size of USD100 million were fully subscribed by private investors.
  • On 28 September 2015, Yinson entered into a conditional share sale agreement to dispose its entire equity interest in the non-oil & gas business to Liannex Labuan Limited for a total cash consideration of RM168.0 million.
  • On 28 September 2015, all the conditions precedent to the Joint Venture Deed between Yinson and FSVN have been fulfilled and/or waived.

 

Mr Lim commented that the focused operational strategies that are being implemented has placed them in a position where the Group is shielded by the long-term contracts with strong counter parties, hence any movement in the economy will have minimal impact on their business.