Shares of Sapura Energy Bhd were almost flat at the beginning of trading today after recording a net loss of RM97.07 million in the first quarter ended April 30, 2021 compared to a net profit of RM14.21 million in the same quarter last year.
Bernama reported that at 11am, the counter was unchanged at 13 sen with 60.60 million shares traded.
The integrated oil and gas services company said the negative performance was mainly due to the adverse effect of the US dollar against the Malaysian Ringgit and the lower profit share of associates and joint ventures.
Revenue, however, increased 8.4% to RM1.47 billion during the review quarter from RM1.36 billion previously, mainly driven by higher revenue from the engineering and construction and drilling segments.
AmBank Research in its research note today said that given the continuing impact of the pandemic, the firm had lowered its revenue forecast for financial years 2022-2024 by 12-16% due to higher operating costs as well as increased production cost assumptions for the exploration and production divisions. (E&P) belongs to 50% Sapura OMV.
Meanwhile, MIDF Research is of the view that Sapura Energy's future efforts will increase based on the positive global crude oil price outlook in financial year 2021 and this will benefit the company's engineering and construction and E&P business segments.
