Sapura Energy returns to profitability, bolstered by restructuring momentum
PETALING JAYA: Sapura Energy Bhd (SEB) staged a turnaround for the financial year ended Jan 31, 2025 (FY25) with profit after tax and minority interest of RM190 million, compared to loss after tax and minority interest of RM509 million in the previous year.
Revenue in FY25 stood at RM4.7 billion, an increase of RM385 million, or 8.9% or year-on-year, while the group's earnings before interest, tax, depreciation, and amortisation was RM524 million, the group said in announcing its audited financial results today.
SEB's external auditors, Messrs Ernst & Young PLT, accompanied the FY25 audited financial statements with an unqualified audit opinion.
In their report, the auditors said SEB's annual financial statements were prepared based on the assumption that the group and the company will continue operating. However, they highlighted a significant uncertainty about this assumption, as the group's and company's current liabilities exceed their current assets, and the group is experiencing serious cash flow problems.
Despite the challenges, the financial statements of the group and the company have been prepared based on the assumption that they will continue operating as a going concern. This assumption largely depends on the timely approval, execution and completion of the proposed regularisation plan by the long stop date of March 11, 2026.
The plan is essential for carrying out the schemes of arrangement, the conditional funding agreement, and settling business issues related to finished engineering and construction projects on time.
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