KUALA LUMPUR, Aug 23 (Bernama) -- PETRONAS Gas Berhad (PGB) closed the first half of 2021 with Profit After Tax (PAT) of RM1.0 billion, a 9% improvement compared to the same period last year. The solid performance was delivered on the back of improved margins from the Utilities business segment, further supported by favourable foreign exchange movement.
 
The results were commendable, proving PGB’s resilience due to its long-term contracts which ensure stable earnings from Gas Processing, Gas Transportation and Regasification segments. Additionally, Utilities segment has benefitted from the change in fuel gas pricing from regulated to reference market price effective November 2020 amidst higher volumes from existing and new customers.
 
PGB’s six-month revenue to 30 June 2021 stood at RM2.72 billion, slightly lower than RM2.80 billion recorded in 2020. This was mainly attributable to lower revenue from Utilities segment in line with lower product prices amidst higher sales volume. Gross profit nevertheless improved by 2% from RM1.28 billion to RM1.31 billion with Utilities segment recording significantly higher contribution as a result of higher margins and lower operating costs.
 
Comparing Q2 2021 against the same quarter last year, PGB’s revenue declined from RM1.40 billion to RM1.38 billion mainly due to lower product prices affecting revenue from the Utilities segment. PGB’s gross profit fell 11% from RM675 million to RM600 million, attributable to higher operating costs at Gas Processing, Gas Transportation and Regasification segments in line with higher level of planned activities in 2021. PAT reduced by 19% from RM574 million to RM464 million in tandem with the lower gross profit, coupled with unfavourable foreign exchange movement and lower share of profit from joint ventures.
 
PGB announced an interim dividend of 16 sen per ordinary share for Q2 FY2021, similar to dividend announced for Q2 FY2020.
 
Commenting on PGB’s performance, Managing Director and Chief Executive Officer Abdul Aziz Othman said, “The solid 1H FY2021 results reflects our sound operations and capital management strategy. While we continue to improve our operational efficiency and rationalise costs, we expect a slight increase in overall repair and maintenance compared to last year with relatively more plant reliability activities planned for 2021. Moving forward, we will enhance our focus on growth and expansion in Utilities segment by offering integrated energy and utilities solutions to industrial parks in Peninsular Malaysia.”
 
PGB recently began commercial operation of its third nitrogen generation unit with a total capacity of 16,000 Nm³, located within the PGB’s Kertih Utility Complex. The new unit is targeted to sustain the reliability of supply to existing customers as well as delivering requirements to new customers.

 
About PETRONAS Gas Berhad
 
PETRONAS Gas Berhad (PGB) was incorporated in 1983 as a wholly owned subsidiary of PETRONAS and listed on the main market of Bursa Malaysia on 4 September 1995. PGB is 51% owned by PETRONAS, while the remaining shares are held by other institutional investors and retail shareholders.
 
It is Malaysia’s leading Gas Infrastructure and Utilities company with core businesses in Gas Processing, Gas Transmission and Regasification. The Company processes natural gas piped from offshore fields and transports the processed gas via the Peninsular Gas Utilisation (PGU) pipeline network to PETRONAS’ customers in Malaysia and Singapore.
 
In addition, the Group also supplies steam, power and industrial gases for its customers at Kertih Integrated Petrochemical Complex in Terengganu and Gebeng Industrial Area in Pahang. 

 
Issued by:      
PETRONAS Gas Berhad
 

SOURCE : PETRONAS Gas Berhad

FOR MORE INFORMATION, PLEASE CONTACT:
Name : Nik Irwan Izanee Nik Abdullah
Tel : +60323925877
Email : irwaniz@petronas.com 

--BERNAMA