As at June 30, 2018, the group had total assets of RM18.22bil.
KUALA LUMPUR: Bumi Armada Bhd
posted net losses of RM585.48mil in the second quarter ended June 30, 2018 due to impairment for its Armada Kraken floating production storage and offloading (FPSO) vessel and net allowance for impairment losses.
The offshore oilfield services provider announced on Wednesday the net losses were partly offset by higher contribution from the LukOil project and higher share of profit of joint ventures.
The net losses were in contrast with the net profit of RM116.59mil a year ago. Revenue was lower by 5.8% to RM654.04mil from RM694.41mil a year ago. Loss per share was 9.97 sen compared with earnings per share of 1.99 sen.
Bumi Armada said the floating production and operation business segment revenue increased by 32.3% to RM446.5mil due to higher revenue from the Armada Olombendo FPSO.
This was despite recognising compensation payable to the Kraken charteres and lower contribution from the Armada LNG Mediterrana floating storage unit.
However, the offshore support vessel revenue fell by 41.6% due to low activity for the segment.
“During the quarter, the group recognized an impairment charge of RM477.20mil and RM1.7mil for the Armada Kraken FPSO and Armada Gema respectivey as well as net allowances for impairment losses of RM117.4mil.
For the first half, its net losses were RM573.06mil compared with net profit of RM164.69mil in the previous corresponding period. Revenue rose 14.2% to RM1.254bil from RM1.098bil.
Bumi Armada said its firm order book at end-June was about RM20.2bil, with additional optional extension of up to RM11.8bil.
As at June 30, 2018, the group had total assets of RM18.22bil, a decrease of 3% compared to Dec 31, 2017, mainly due to decrease in property, plant and equipment, other receivables, amounts due from joint ventures and cash and bank balances.
Property, plant and equipment decreased due to the impairment losses recognised in YTD 2018. Amounts due from joint ventures decreased due to repayment from a joint venture in year-to-date 2018 while cash and bank balances decreased due to repayment of bank borrowings and payment to vendors.
The decrease has been partially offset by the increase in trade receivables balance due to higher billings made to the customers in YTD 2018 for the LukOil project.
As at June 30, 2018, the group had total liabilities of RM13.10bil, a decrease of 2% compared to end-2017, mainly due to repayment of bank borrowings and payment to vendors.
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