By IZWAN IDRIS
It posts pre-tax profit of RM31bil on RM98bil revenue
PETALING JAYA: Petroliam Nasional Bhd’s (Petronas) pre-tax profit for the first half ended Sept 30 fell 51% to RM31.2bil, versus a year earlier, as revenue declined 37.5% to RM98.2bil.
“The decrease in revenue was mainly due to the overall decrease in product prices and lower sales volume,’’ Petronas said in an 11-page summary of the group’s latest first-half results posted on its website yesterday.
The sharp decline in profit resulted in lower tax expenses for Petronas for the period under review. The national oil firm’s tax bill stood at RM8.9bil against RM20.6bil paid to the Government in the previous corresponding period.
The group’s net profit declined 48% to RM22.3bil compared with RM42.7bil previously.
Sales of refined petroleum products remained the mainstay of Petronas, generating RM40.5bil in revenue, or 41.2% of the group’s total turnover.
The group’s liquefied natural gas (LNG) business generated RM13.9bil, or 14.1% of total sales, followed by crude oil at RM13.1bil, or 13.4% of total revenue.
“International operations have been the biggest revenue generator for the group since March 2008 and contributed 48.6% to the current-period revenue compared with the first half of 2008,’’ Petronas said.
Domestic business accounted for 21.4% of the group’s revenue, while exports contributed 30% to total sales.
The national oil company said the weak ringgit during the period under review helped mitigate some of the “negative impact” from lower sales price.
Crude oil prices on the international market climbed 50%, from about US$50 a barrel in early April to US$70 per barrel as at the end of September.
However, crude oil was consistently traded above US$100 per barrel in the corresponding six months a year ago. Light sweet crude oil traded in New York rose to a record US$145 per barrel in July last year.
The Tapis blend, the main light sweet crude oil produced in Malaysia, normally trades at a slight premium to prices in New York.
Meanwhile, Petronas’s balance sheet remained healthy.
Total assets at Sept 30 grew 3.8% to RM402.8bil due to the “addition to property, plant and equipment for ongoing capital projects and acquisition of new subsidiaries.’’
The group’s cash balance remained at a solid RM92.7bil, but slightly lower compared with RM94.8bil as at March 31. But the lower revenue means net cash generated from operating activities decreased 69% versus a year earlier. This in turn affected the group’s net cash used in financing activities, which dropped 61.9% to RM6.8bil from RM17.7bil a year ago.
“Net cash used in financing activities for the first half of 2009 includes dividends paid to the Government and minority shareholders, as well as repayment of bonds and borrowings,’’ Petronas said. (December 9, 2009)
It posts pre-tax profit of RM31bil on RM98bil revenue
PETALING JAYA: Petroliam Nasional Bhd’s (Petronas) pre-tax profit for the first half ended Sept 30 fell 51% to RM31.2bil, versus a year earlier, as revenue declined 37.5% to RM98.2bil.
“The decrease in revenue was mainly due to the overall decrease in product prices and lower sales volume,’’ Petronas said in an 11-page summary of the group’s latest first-half results posted on its website yesterday.
The sharp decline in profit resulted in lower tax expenses for Petronas for the period under review. The national oil firm’s tax bill stood at RM8.9bil against RM20.6bil paid to the Government in the previous corresponding period.
The group’s net profit declined 48% to RM22.3bil compared with RM42.7bil previously.
Sales of refined petroleum products remained the mainstay of Petronas, generating RM40.5bil in revenue, or 41.2% of the group’s total turnover.
The group’s liquefied natural gas (LNG) business generated RM13.9bil, or 14.1% of total sales, followed by crude oil at RM13.1bil, or 13.4% of total revenue.
“International operations have been the biggest revenue generator for the group since March 2008 and contributed 48.6% to the current-period revenue compared with the first half of 2008,’’ Petronas said.
Domestic business accounted for 21.4% of the group’s revenue, while exports contributed 30% to total sales.
The national oil company said the weak ringgit during the period under review helped mitigate some of the “negative impact” from lower sales price.
Crude oil prices on the international market climbed 50%, from about US$50 a barrel in early April to US$70 per barrel as at the end of September.
However, crude oil was consistently traded above US$100 per barrel in the corresponding six months a year ago. Light sweet crude oil traded in New York rose to a record US$145 per barrel in July last year.
The Tapis blend, the main light sweet crude oil produced in Malaysia, normally trades at a slight premium to prices in New York.
Meanwhile, Petronas’s balance sheet remained healthy.
Total assets at Sept 30 grew 3.8% to RM402.8bil due to the “addition to property, plant and equipment for ongoing capital projects and acquisition of new subsidiaries.’’
The group’s cash balance remained at a solid RM92.7bil, but slightly lower compared with RM94.8bil as at March 31. But the lower revenue means net cash generated from operating activities decreased 69% versus a year earlier. This in turn affected the group’s net cash used in financing activities, which dropped 61.9% to RM6.8bil from RM17.7bil a year ago.
“Net cash used in financing activities for the first half of 2009 includes dividends paid to the Government and minority shareholders, as well as repayment of bonds and borrowings,’’ Petronas said. (December 9, 2009)
