Yinson Holdings Berhad (YINSON) Q1 2025 earnings summary

Executive summary

• Delivered two FPSOs in FYE2025, transitioning from EPC to harvesting phase with steady, contracted income.

• Revenue for Q1 FY2025 was RM2,214 million, down 26.6% year-over-year, mainly due to lower EPCIC activity, partially offset by FPSO Anna Nery's contribution.

• Gross profit increased 33.4% to RM831 million, and profit after tax rose 28.4% to RM249 million, driven by FPSO Anna Nery's operations.

• Net profit attributable to owners was RM203 million, slightly lower than last year, with higher non-controlling interest contributions.

• Total comprehensive income was RM465 million, stable year-over-year.

Financial highlights

• Q1 FYE2025 revenue was RM2,214 million, down 27% year-over-year due to lower EPCIC contributions, partially offset by FPSO Anna Nery operations.

• EBITDA rose 41% year-over-year to RM821 million; PATAMI was RM203 million, nearly flat year-over-year.

• Operating profit rose 45.3% year-over-year to RM728 million, while finance costs increased 85.1% to RM372 million due to higher borrowings.

• Basic EPS was 5.6 sen, down from 6.1 sen year-over-year.

• Cash and cash equivalents at period end were RM1,948 million, with RM1,375 million restricted for specific purposes.

Outlook and guidance

• Increased ability to return capital to shareholders expected due to higher free cash flow.

• Focus remains on long-term lease and operate contracts, with a contract backlog of USD22.2 billion until 2048.

• FPSO market demand remains strong, especially in Brazil and West Africa, with Yinson positioned for growth due to emissions reduction technologies.

• Renewables pipeline progressing in Latin America, Asia Pacific, and Europe, with stable long-term contracted income expected as new FPSOs commence operations.

• Focus remains on delivery, prudent risk management, and leveraging sustainability foundations for future growth.