Scomi posts RM23m pre-tax profit in Q1

KUALA LUMPUR: Scomi Group Bhd has achieved a profit turnaround for the first quarter ended March 31 2012, thanks to gross margin improving to 24.2 per cent, as compared with 13.7 per cent in the last quarter of 2011.

The group posted a pre-tax profit of RM23 million for the quarter, compared with a loss of RM151.1 million in the last quarter of 2011. Revenue increased by 19 per cent to RM365.2 million.

Scomi attributed better earnings to its marine and oilfield services divisions.

Despite recording lower revenues of RM90.8 million, the marine services division's pre-tax profit increased by nearly threefold to RM18.3 million, from RM7.5 million in the first quarter of 2011.

The significant rise in profit was due to costs savings achieved via increased operational productivity, following better port mix and vessel stand downs, Scomi said in a statement issued yesterday.

The pre-tax profit for the oilfield services division climbed 30 per cent to RM22.2 million, from RM17 million in the same period last year.

The division, which posted revenues of RM292.1 million, 29 per cent more than the the first quarter of 2011, had better earnings from its operations here, in the UK and Nigeria.