Update Tenaga 2Q pre-tax profit falls 23% q-o-q, declares 10 sen dividend

by **Cals** Fri 25 Apr 2014, 02:14

Update Tenaga 2Q pre-tax profit falls 23% q-o-q, declares 10 sen dividend

Business & Markets 2014

Written by Ahmad Naqib Idris Adzman Shah of theedgemalaysia.com

Thursday, 24 April 2014 18:08

KUALA LUMPUR (Apr 24): Tenaga Nasional Bhd’s profit before tax for its second quarter (2QFY14) fell 23% quarter-on-quarter (q-o-q) to RM1.23 billion from RM1.60 billion in the previous quarter.

A Tenaga press statement said revenue for the quarter was higher at RM10.01 billion, compared with RM9.59 billion in the preceding quarter.

For the six months to Feb 28, 2014, profit before tax declined by 21% to RM2.84 billion compared with RM3.61 billion in previous year’s corresponding period, while cumulative revenue rose to RM19.59 billion from RM17.98 billion.

The group had announced a single-tier dividend of 10 sen per ordinary share for the quarter.

The group had attributed the lower pre-tax profit for the first half of the year to “lower forex translation gain of RM133.7 million recorded for the current period as compared to RM786.0 million recorded in 1HFY13.”

Disregarding the lower forex gain, normalised profit before forex and after tax for the period was negatively flat at RM2.11 billion, compared to RM2.12 billion in the previous year’s same period.

Datuk Seri Azman Mohd, the president and CEO of Tenaga, said that the first half of FY14 was technically challenging for the company, due to coal plant outages and low hydro availability due to the dry season.

“Tenaga, however, had rose to the challenges and managed to keep the lights on during this difficult quarter,” he said in a press statement today.

He added that the company’s performance is closely monitored under the Incentive Based Regulation (IBR) which was effective Jan 1, 2014.

Going forward, the group maintains a cautious outlook on its operational performance for the remainder of the year.
In a separate filing to Bursa Malaysia, Tenaga Nasional Bhd said its net profit for the quarter rose 31% year-on-year to RM1.67 billion from RM1.27 billion.

Revenue for the quarter increased to RM10.01 billion from RM8.85 billion in the previous year’s same quarter.

Net profit for the first half of the year improved to RM3.41 billion from RM2.69 billion in the previous year’s same period, while revenue was higher at RM19.59 million compared to RM17.98 million.