KUALA LUMPUR (Dec 28): Yinson Holdings Bhd saw its net profit slip 1.2% to RM85.74 million in its third financial quarter ended Oct 31, 2015 (3QFY15), from RM86.79 million a year ago, on impairment of available-for-sale financial assets and plant and equipment.

Revenue for the quarter fell 3.5% to RM246.41 million, from RM255.22 million in 3QFY14.

For the cumulative nine months period (9MFY15), the group’s net profit rose 18.1% to RM174.57 million, from RM147.77 million in 9MFY14. Revenue, however, dropped 11.5% to RM734.46 million in 9MFY15, from RM829.8 million a year ago.

In a filing with Bursa Malaysia today, Yinson said the 3QFY15 performance benefitted from foreign exchange gain of about RM38 million due to favourable currency fluctuation, and reduction in realised loss on derivatives by RM5.308 million. These were offset by impairment of available-for-sale financial assets RM16.102 million and impairment in plant and equipment of RM18.98 million.

Yinson said going forward, the global growth is expected to remain moderate and while major advanced economies continue to improve, the pace of recovery will be modest.

It opined that downside risks to global growth remain high, arising from the moderating growth momentum in a number of major economies, uncertainty surrounding energy and commodity prices.

Amid this challenging global economic environment, the group expects to sustain satisfactory results for the full financial year ending Jan 31, 2016.

Yinson’s share price rose 7 sen or 2.47% to close at RM2.90 today, for a market capitalisation of RM3.09 billion.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)