PERDANA (7108) : Maybank Research sees stronger FY15 for Perdana Petroleum
KUALA LUMPUR: Perdana Petroleum Bhd’s nine-month ended Sept 30, 2014 earnings was in line with consensus’ forecasts at 77% but expects stronger financial year in 2015, says Maybank Investment Bank Research.
The company posted third quarter core net profit or RM27mil, which took nine-month core earnings to RM73mil. The quarter-on-quarter growth was fuelled by higher utilisation of its offshore support vessel (OSV) fleet and lower maintenance costs.
Maybank Research is maintaining its forecasts on Perdana, and expect a sequentially weaker fourth quarter following the sale its Superior accommodation workbarge for US$28.5mil to Houston Ltd.
Also, Perdana’s operating expenditure will be higher given its newbuild accommodation workbarge, Emerald, which was delivered in October.
The research house expects a stronger financial year ending Dec 31, 2015 as Perdana charters out Emerald in the first quarter. “Demand/utilisation is almost assured. Emerald is targeted either for Shell EOR/Dayang’s HUC works in Malaysia,” said Maybank Research.
It added that following the recent weakness in Perdana’s share price, risk-rewards ratio has turned favourable.
“Perdana offers resilient earnings visibility. 81% of its OSV contracts are on long term charters, operating in the stable ‘production phase’ segment of the oil and gas value chain,” it said.
Maybank added that Perdana is likely to turn non-Shariah compliant in the upcoming Nov 28 review.
http://www.thestar.com.my
KUALA LUMPUR: Perdana Petroleum Bhd’s nine-month ended Sept 30, 2014 earnings was in line with consensus’ forecasts at 77% but expects stronger financial year in 2015, says Maybank Investment Bank Research.
The company posted third quarter core net profit or RM27mil, which took nine-month core earnings to RM73mil. The quarter-on-quarter growth was fuelled by higher utilisation of its offshore support vessel (OSV) fleet and lower maintenance costs.
Maybank Research is maintaining its forecasts on Perdana, and expect a sequentially weaker fourth quarter following the sale its Superior accommodation workbarge for US$28.5mil to Houston Ltd.
Also, Perdana’s operating expenditure will be higher given its newbuild accommodation workbarge, Emerald, which was delivered in October.
The research house expects a stronger financial year ending Dec 31, 2015 as Perdana charters out Emerald in the first quarter. “Demand/utilisation is almost assured. Emerald is targeted either for Shell EOR/Dayang’s HUC works in Malaysia,” said Maybank Research.
It added that following the recent weakness in Perdana’s share price, risk-rewards ratio has turned favourable.
“Perdana offers resilient earnings visibility. 81% of its OSV contracts are on long term charters, operating in the stable ‘production phase’ segment of the oil and gas value chain,” it said.
Maybank added that Perdana is likely to turn non-Shariah compliant in the upcoming Nov 28 review.
http://www.thestar.com.my
