KUALA LUMPUR: Dayang Enterprise
Bhd's earnings outlook for the financial year ending Dec 31, 2024 (FY24) remains robust, supported by about RM1.39bil in outstanding call-out contracts.
“Moving forward, we continue to wait for the results of the new umbrella contracts for maintenance, construction and modification (MCM) and hook-up and commissioning (HUC).
“We will remain prudent in managing our business affairs while continuing to deliver outstanding performance,” Dayang said in the notes accompanying its financial results.
In the second quarter ended June 30, Dayang’s net profit more than doubled to RM131.4mil compared with RM64.7mil achieved in the year-ago quarter.
Revenue for the quarter rose 49% year-on-year to RM455.8mil from RM305.7mil, while earnings per share climbed to 11.35 sen against 5.59 sen last year.
Dayang said the higher revenue achieved in the second quarter of 2024 was principally attributable to higher vessel utilisation rates of 91% compared to 72% in the corresponding quarter.
It said the shortage of offshore support vessels for offshore production and operations activities continues to be the main reason for higher demand and improved daily charter rates (DCR) for both own and third-party vessels.
In addition, dayang said more work orders/contracts being awarded from oil majors received under topside maintenance contracts also contributed to higher revenue generated.
For the first half, the group posted a higher net profit and revenue of RM159.3mil and RM702.9mil, respectively.
Dayang said the second quarter performance reflects the robust activities in the MCM and HUC projects, coupled with higher vessel utilisation rates.
“We are confident that we can sustain a similar performance in the third quarter given the overall industry optimism supported by stable crude oil prices,” it said.
