Dialog 3Q profit rises 12%, declares 1.1 sen dividend

by **Cals** Wed 15 May 2013, 22:09

Dialog 3Q profit rises 12%, declares 1.1 sen dividend
Business & Markets 2013
Written by Kamarul Anwar of theedgemalaysia.com
Wednesday, 15 May 2013 18:07

A + / A - / Reset
KUALA LUMPUR (May 15): DIALOG GROUP BHD []’s net profit for the third quarter ended March 31, 2013 (3QFY13) grew by 12% year-on-year with the increased engineering, procurement, CONSTRUCTION [] and commissioning (EPCC) activities.

Dialog also declared an interim dividend of 1.1 sen per share in the quarter, the same amount as last year.

In a filing with Bursa Malaysia, the oil and gas (O&G) service provider reported net profit for 3QFY13 was RM46.76 million, up from RM41.39 million in the previous corresponding period.

Its revenue, meanwhile, was significantly higher at RM636.57 million. This was 51.55% higher than 3QFY12’s RM420.04 million.

“The increasing EPCC activities at Pengerang Deepwater Terminal in Pengerang, Johor explained the higher revenue for Malaysia operation during the period under review. In addition, increased fabrication activities and the consistent performance of the Specialist Products and Services division had also contributed to the better performance by Malaysia operation,” Dialog explained in the filing.

Dialog said its net profit was affected by the additional cost overrun experienced by a plant maintenance project in Singapore, which explained why its net profit did not rise as much as revenue.

For the nine months ended March (9MFY13), Dialog reaped RM141.06 million in net profit on revenue of RM1.56 billion.

Compared to the previous corresponding period, its net profit came in at RM127.39 million on the back of RM1.13 billion in revenue.

Dialog said it is bound to benefit from the thriving O&G industry as it will continue to grow its core businesses, namely EPCC, fabrication, plant maintenance services, logistics and upstream services businesses.

“The group is also securing potential partners for subsequent phases including a liquefied natural gas storage terminal. In addition, the group’s EPCC and fabrication arms are also expected to benefit from other refinery and petrochemical projects which are being planned in Pengerang, Johor,” said Dialog.