PETALING JAYA: Petronas Gas Bhd’s (PetGas) net profit for the second quarter ended June 30 shrank 19.75% to RM439.07 million from RM547.1 million in the corresponding quarter a year ago mainly due to higher operating costs of gas processing, gas transportation, and regasification segments, relating to depreciation, maintenance, and internal gas consumption, coupled with unfavourable movement on foreign exchange and lower share of profit from two of the group’s joint venture companies.
The group’s revenue dipped by 1.14% to RM1.38 billion from RM1.4 billion previously mainly attributable to lower revenue from utilities segment in line with lower product prices amidst higher sales volumes.
The group approved a second interim dividend of 16 sen per share amounting to RM316.6 million, in respect of the financial year ending Dec 31, 2021.
For the six months period, its net profit grew 4.4% to RM955.47 million from RM915.22 million with utilities segment recording improved contribution on stronger margins and lower operating costs, mainly relating to fuel gas and depreciation, complemented by favourable movement on foreign exchange.
Revenue decreased 2.58% to RM2.72 billion from RM2.8 billion previously mainly attributable to lower revenue from utilities segment in line with lower product prices amidst higher sales volumes.
PetGas’ performance in 2021 is expected to remain resilient despite the ongoing pandemic as the group’s business model and long-term contracts ensures steady revenue streams, particularly for gas processing, gas transportation and regasification business segments.