KUALA LUMPUR (Feb 22): Malakoff Corp Bhd reported today a 188% rise in fourth quarter net profit at RM85.48 million from RM29.7 million a year earlier as revenue increased on higher payment from electricity generation at its Tanjung Bin Power Sdn Bhd (TBP) and Tanjung Bin Energy Sdn Bhd (TBE) coal power plants.

In a statement to Bursa Malaysia today, Malakoff said revenue rose to RM1.89 billion in the fourth quarter ended Dec 31, 2018 (4QFY18) from RM1.79 billion.

"For the quarter ended Dec 31, 2018, the group recorded RM1.89 billion in revenue, a 5.2% increase from RM1.79 billion reported in the corresponding quarter ended Dec 31, 2017, primarily due to higher energy payment recorded from TBP and TBE coal plants on the back of higher applicable coal price.

"Correspondingly, the group recorded significantly higher profit before taxation of RM156.5 million compared with RM33.9 million reported in corresponding quarter ended Dec 31, 2017, primarily attributed to improved contribution from TBE coal plant given the shorter plant outage duration, lower depreciation of C-inspection costs following revision in the useful lives of C-inspection for gas plants, lower operation and maintenance costs, lower net finance costs coupled with higher contributions from associates investments," Malakoff said.

For the full year, Malakoff said FY18 net profit, however, fell to RM274.43 million from RM295.93 million a year earlier. The company said FY18 revenue was higher at RM7.35 billion versus RM7.13 billion in the previous year.

Looking ahead, Malakoff said the group will participate in the Malaysian government's open tender for the third round of the 500MW large-scale solar (LSS3) projects, which was announced recently.

"The group will continue to intensify its efforts to improve competitiveness through cost management and operational excellence to enhance its resilience and sustainability," Malakoff said.