For the 1 st quarter ended 30th September 2022, Dialog Group posted a 40.8% increase in revenue to RM711.7 million against RM505.5 million recorded in the corresponding quarter last year. During the quarter, the group said it saw increased activities contributed by both Malaysia and International operations.
The group’s net profit after tax for the quarter of RM120.2 million was however lower by 8.3% against RM131.0 million reported in the corresponding quarter last year mainly caused by higher project and operation costs. Despite being busy with downstream projects, global issues has caused severe supply chain disruption, higher material price and labour cost. These inevitably resulted in cost overruns and some project losses.
In the midstream business, DIALOG Terminals Langsat and DIALOG Terminals Pengerang with a total capacity of 855,000 cbm and 430,000 cbm, respectively, continued to contribute a stable revenue stream to the Group. The profit contributions from these terminals for the current financial quarter were lower due to the higher financing cost. The upstream activities also contributed to a lower net profit in the current financial quarter resulting from lower production at both Bayan and D35/D21/J4 fields due to drilling and maintenance activities.
On the International front, the Group reported higher revenue for the current financial quarter with higher sales of specialist products and services in various countries. However, the net profit after tax was lower because of the challenging environment.
During the current financial quarter, the Group has successfully completed the acquisition of a joint venture, Pan Orient Energy (Siam) Ltd., a concessionaire, and operator of Concession L53/48, onshore Thailand. This has contributed to a higher share of joint venture results in the Group.
The Group’s revenue for the current financial quarter of RM711.7 million was 5.3% higher when compared to RM675.6 million reported in the preceding quarter, mainly attributable to increased engineering, construction, and plant maintenance activities.
Despite the lower profit contribution from these projects, the Group’s total profit before tax for the current reporting quarter against the preceding quarter was maintained at RM127 million. This was due to the share of profit from the newly acquired joint venture company.
