KUALA LUMPUR: Icon Offshore Bhd, whose chief executive officer (CEO) Dr Jamal Yusof declined re-election at the AGM yesterday, announced that its net profit tumbled 86% to RM2.7 million for the first quarter ended March (1QFY15) from RM19.5 million a year ago.

Revenue fell to RM63.59 million in 1Q from RM80.06 million a year before.

In the announcement to Bursa Malaysia, Icon said the 20.5% decrease in revenue was due to a lower fleet utilisation rate of 64% compared with a 79% utilisation rate in 1QFY14 from lower demand and slower activity in the oil and gas industry and higher payroll costs as a result of the higher headcount to support fleet expansion, as well as foreign exchange losses.

Icon also announced that its Brunei-incorporated subsidiary Icon Bahtera (B) Sdn Bhd has secured a long-term charter contract, valued at RM99 million with Zell Transportation Sdn Bhd, a company based in Brunei. The contract is for a duration of two years starting from April 10.

On Jamal’s withdrawal of his offer to be re-elected as Icon’s CEO, the company’s chairman Raja Tan Sri Arshad Raja Tun Uda said the company received a letter from Jamal shortly before yesterday’s AGM.

“Earlier this morning [yesterday], I received a letter from him [Jamal] indicating that he has thought the whole thing over and because he needs the time to help in the investigation (by the Malaysian Anti-Corruption Commission [MACC]) and putting the best interest of the company ahead of his personal interest he has opted not to seek re-election,” said Arshad.

Arshad, added that at the moment Jamal still remains as the group’s CEO even though he is on leave of absence for six months.

Note that Jamal and his brother Rahman Yusof, the company’s chief operating officer, are on leave of absence for six months starting from April 27 this year to assist investigations following the duo’s remand for three days by the MACC.

On MACC’s investigation on the duo, Arshad said: “We don’t have any updates on that. We obviously have not been notified on the exact nature of the investigation. Basically they have talked to the people involved and they have taken whatever documents relating to them and they have not notified what is the nature (of the investigation),” he said.

Datuk Wira Azhar Abdul Hamid the Icon's senior independent non-executive director also pointed out that the duo have not been charged with any offence and they are just “assisting” in the investigation.

This article first appeared in The Edge Financial Daily, on May 28, 2015.