Revenue rise for SapuraKencana
Date: 23.12.2015.

Publication source: Upstream

SapuraKencana Petroleum maintained revenue growth in the third quarter as money-spinning contracts helped the Malaysian player to defy an oil market downturn.

The company notched up quarterly revenue of 2.9 billion ringgit ($675 million) to leave it with 7.95 billion ringgit for the first nine months of its financial year, an increase of 5.4% from the year-earlier figure of 7.55 billion ringgit.

Its profit after tax for the third quarter was up 26 million ringgit on the previous three-month period at 130 million ringgit.

President and Group Chief executive officer Tan Sri Shahril Shamsuddin said SapuraKencana’s services business “continues to deliver and secure work in key markets such as Brazil, India, West Africa and Malaysia” despite industry spending cuts amid weak oil prices.

The diversified group, which also has upstream activities, has recently won new contracts for the Mumbai High South redevelopment scheme off India with state-owned Oil & Natural Gas Corporation and engineering, procurement, construction and commissioning work with Roc Oil in Sarawak.

Its services divisions, covering drilling and engineering & construction, recorded quarterly operating profit of 1.35 billion ringgit, though the energy division encompassing upstream activities suffered an operating loss of 550 million ringgit on impairments due to low oil prices.