TAS Offshore records net loss in third quarter

PETALING JAYA: Shipbuilding and repair company TAS Offshore Bhd recorded a net loss of RM569,000 in the third quarter ended Feb 28 against a net profit of RM1.29 million reported in the same quarter a year ago.

Revenue for the quarter under review fell by 45.96% to RM7.39 million from RM13.69 million.

While the board of directors noted that results for the current quarter and financial period to date have not been affected by any transactions or events of a material nature” which materialised between May 31, 2017 and the date of the report, the board also established that its loss before tax is attributable to the termination of shipbuilding contracts and unrealised loss on foreign exchange as the ringgit strengthened.

The group which is optimistic about its prospects said the improving climate of the oil and gas industry is conducive for a potential surge in new orders for offshore support vessels while the positive outlook for coal mining industry in Indonesia is expected to spur demand for more tugboats, from which it looks to benefit from.

For the first nine months of the financial year, the group recorded a net profit of RM104,000 from RM655,000.

Revenue for the period rose 56.60% to RM29.53 million from RM18.85 million.

TAS Offshore fell 2.67% to 36.5 sen with 486,700 shares done.