Latest news with #MalakoffCorpBhd
The Star
7 days ago
- Business
- The Star
Malakoff's 1Q net profit drops 45%
Malakoff's Tanjung Bin power plant in Johor KUALA LUMPUR: Malakoff Corp Bhd's net profit tumbled 45.3% to RM33.9mil in the first quarter ended March 31, compared with RM62.2mil in the year-ago quarter. The independent power producer said the lower profit was primarily due to lower positive fuel margin recorded at Tanjung Bin Power Sdn Bhd (TBP) in line with the decline in applicable coal price (ACP), higher net realisable value provision for coal inventories and lower contribution from Prai Power Plant Sdn Bhd following a reduction in the revised tariff from the extended power purchase agreement (PPA). Revenue for the quarter declined to RM2.03bil from RM2.28bil, while earnings per share slipped to 0.14 sen compared with 0.79 sen previously. It said the lower revenue was primarily due to lower energy payments recorded from TBP and Tanjung Bin Energy Sdn Bhd (TBE) in line with the decline in ACP as well as lower energy payment recorded from Segari Energy Ventures Sdn Bhd (SEV), given the decrease in despatch factor. Malakoff expects its overall performance to remain satisfactory for the financial year ending Dec 31, 2025. It noted that global coal prices are expected to decline in early 2025 due to lower coal imports by some developing countries, including reduced demand from China driven by cheaper domestic coal and increased hydropower. As such, a higher provision for net realisable value for coal inventories has been accounted for during the current quarter under review. 'The group's thermal assets continue to focus on operational efficiencies to enhance reliability and availability to mitigate any impact from fluctuations in global coal prices,' it said.
New Straits Times
06-05-2025
- Business
- New Straits Times
Malakoff unit issues RM250mil Asean Sustainability Sukuk
KUALA LUMPUR: Malakoff Corp Bhd's unit Malakoff Power Bhd (MPower) has issued its inaugural RM250 million Asean Sustainability SRI Sukuk Murabahah under its RM1.2 billion Islamic medium-term notes programme. This marks the group's first sustainability offering under its Asean Sustainability SRI Sukuk Murabahah and the first by an independent power producer in Malaysia. The proceeds from the issuance will be utilised to finance projects by MPower, Malakoff and its subsidiaries, in accordance with Malakoff's sustainable finance framework. Malakoff managing director and group chief executive officer Anwar Syahrin Abdul Ajib said this is a significant milestone for MPower, as the group's last sukuk issuance was in December 2013. "We are very encouraged by the strong demand from a diverse investor base for this issuance, which has set a new pricing benchmark for MPower. Looking ahead, Malakoff will continue to broaden its assets portfolio through strategic partnerships and circular economy initiatives. "As a trusted partner in Malaysia's green transition, we remain focused on strengthening capabilities, enhancing efficiencies and delivering long-term value in an evolving energy landscape," he said in a statement. The transaction was oversubscribed by 10.34 times, backed by growing demand for sustainability assets and the scarcity value of sukuk offerings. Malakoff said the price guidance was revised and tightened multiple times, supported by the strong orderbook. The issuance was priced at 70 basis points above the Malaysian Government Securities yield for both the seven- and 10-year tenures, which is 0.30 percentage point lower than the upper end of the initial pricing guidance. Over the past year, Malakoff achieved a 3.7 per cent year-on-year reduction in greenhouse gas emissions intensity, partly supported by a 17 per cent drop in Scope 2 emissions related to the group's electricity consumption. Its other notable sustainability commitments include its flagship Biomass Co-firing Project at the 2,100 megawatt Tanjung Bin Power Plant for a trial run under the National Energy Transformation Roadmap. Malakoff is committed to scale up the biomass co-firing to a higher ratio of 15 per cent by 2027. This is projected to reduce carbon dioxide emissions by approximately 755,000 tonnes annually.
