KUALA LUMPUR: Petroliam Nasional Bhd posted net losses of RM7.3bil in the fourth quarter ended Dec 31, 2014 due to significant assets impairment losses recognised as a result of reduced crude oil price forecasts as well as lower revenue generated for the quarter.
This was the first quarterly loss for the national oil corporation since it adopted the quarterly reporting format five years ago.
Petronas said on Friday the impairments totalled RM22.6b, which was a non-cashflow item, due to value of assets changing.
Petronas said its revenue for Q4 of FY14 was RM79.4bil, a decline of 6% from the RM84.8bil in 2013.
“The decrease in the current revenue was primarily due to lower average realised prices for all products in line with the downward trend of benchmark crude oil price. Dated Brent in the current quarter, negated by higher crude oil, liquefied natural gas and petrochemical products sales volume,” it said.
For the financial year ended Dec 31, 2014, Petronas posted lower net profit of RM47.6bil, down 27% from RM65.6bil in FY13, primarily due to the significantly higher assets impairment losses recognised and higher net depreciation and amortisation expenses in 2014. EBITDA for the year was RM125.3bil, an increase by RM1.9bil compared to 2013.
However, its revenue was higher at RM329bil compared with RM317.3bil in FY13. It said the higher revenue was mainly due to higher crude oil production volume from Iraq and domestic fields, higher LNG and processed gas sales volume and coupled with the effect of the favourable US dollar exchange rate movement against the ringgit, partially offset by lower average realised prices for most products.
Petronas also said the capital expenditure for FY15 would be cut by 10% and for FY16 it would be reduced by 15%. The total amount would be RM25bil to RM30bil.
The directors proposed a tax exempt final dividend of RM22bil for FY ended Dec 31, 2014 for shareholders’ approval at its forthcoming AGM.
As the outlook of Brent crude oil price, it expected it to range US$55 per barrel in 2015.
On the Sepat oil and gas project, it would be deferred to 2017.
