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It has dismissed talks of problems in its African operations and says a change in the accounting treatment in two of its largest FPSO jobs is due to the size and duration of the these projects.
It has a strong order book of rm32 billion.
A large drop in its profit and sudden changes in its accounting treatment raises eyebrows and creates uncertainty. Its CEO says the group changed its accounting treatment because it is undertaking larger FPSO projects.
As regards its African operations, the group does not face any security issues and that its financial results were not affected by its operations in this market Africa is its key market that it is expanding into. For the first quarter ended March 31 2014, its net profit fell 41% while revenue decreased to rm469 million from rm489 million.
The drop were impacted by the winter season in the Caspian Sea and the lower utilization rate of its OSVs in Malaysia. Meanwhile it had proposed a rights issue to raise rm2.2 billion, which will mainly used for capex. Its largest shareholder is Objektif Bersatu Sdn Bhd with a 42.3% stake which in turn is controlled by Tan Sri Ananda Krishnan.
A large drop in its profit and sudden changes in its accounting treatment raises eyebrows and creates uncertainty. Its CEO says the group changed its accounting treatment because it is undertaking larger FPSO projects.
As regards its African operations, the group does not face any security issues and that its financial results were not affected by its operations in this market Africa is its key market that it is expanding into. For the first quarter ended March 31 2014, its net profit fell 41% while revenue decreased to rm469 million from rm489 million.
The drop were impacted by the winter season in the Caspian Sea and the lower utilization rate of its OSVs in Malaysia. Meanwhile it had proposed a rights issue to raise rm2.2 billion, which will mainly used for capex. Its largest shareholder is Objektif Bersatu Sdn Bhd with a 42.3% stake which in turn is controlled by Tan Sri Ananda Krishnan.
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