KUALA LUMPUR: Malakoff Corp Bhd posted a net loss of RM109.42 million in the third quarter ended Sept 30, 2023 (Q3 2023) versus a net profit of RM66.54 million in Q3 2022.
This was primarily due to negative fuel margin recorded at Tanjung Bin Power Sdn Bhd (TBP) and Tanjung Bin Energy Sdn Bhd (TBE) coal plants of RM149.4 million and RM33.0 million respectively.
The plants were largely impacted by the higher weighted average coal costs, lower contribution from GB3 Sdn Bhd following the expiry of power purchase agreement (PPA) on Dec 30, 2022 and lower share of profit from associates and joint ventures.
Revenue for the quarter dropped 32.2 per cent to RM2.15 billion from RM3.18 billion in the corresponding quarter last year.
This was attributed to lower energy payment recorded from TBP and TBE impacted by the decline in applicable coal price as well as absence of revenue contribution from GB3 following the expiry of the PPA on Dec 30 last year.
For the nine-month period, the company posted a net loss of RM527.24 million compared to a net profit of RM213.16 million in the same period last year.
Revenue for the period dropped to RM6.8 billion from RM7.38 billion in 9M22.
Malakoff expects a negative overall performance for the financial year ending Dec 31, 2023 taking into consideration impacts from global coal prices.
"Nonetheless, the group will continue to optimise its plants' operational efficiencies to cushion the adverse impact," it said.