KUALA LUMPUR (March 30): Yinson Holdings Bhd saw its net profit drop 53% to RM47.43 million or 4.44 sen a share for the fourth financial quarter ended Jan 31, 2016 (4QFY16), from RM99.91 million or 10.51 sen a share a year ago, due to a gain on disposal in the preceding year.

Revenue for the quarter was down 5% at RM241.07 million compared with RM253.62 million in 4QFY15.

For the 12-month period to Jan 31, 2016 (FY16), net profit fell 10% to RM221.99 million or 20.8 sen a share from RM247.68 million or 26.06 sen a share a year ago, in line with a 10% decline in revenue to RM975.53 million in FY16 from RM1.083 billion in FY15.

In a filing with Bursa Malaysia today, the integrated offshore production and support services provider said its results were lower for FY16 due to the recognition of a gain on disposal of subsidiary and joint venture of RM20.87 million and a fair value gain of RM30.52 million in forward contracts in FY15.

Excluding the gains, the group said its other operations segment saw an increase of RM17.23 million, which was attributed to net foreign exchange difference of about RM52 million, but was offset by impairment of available-for-sale financial assets of RM17.55 million and realised loss on derivatives of RM8.15 million.

Meanwhile, its marine segment saw a 7% increase in revenue to RM424.27 million from RM395.43 million a year ago.

"The increase arose mainly from conversion of US dollar revenue due to appreciation of the US dollar against the ringgit," said Yinson, adding that the segment saw a reduction in operating costs during the quarter.

Yinson's discontinued operations, which consist of the transport, trading and rental segments, saw a 10% fall in revenue to RM9.07 million.

On the other hand, its share of results from joint ventures and associates saw improvement, reporting a profit of RM1.58 million from to a loss of RM325,000 in the previous year.

Looking ahead, the group said the short- to medium-term outlook for the oil and gas sector remains challenging due to the oversupply situation, while downside risks to the global outlook remain elevated.

"Amid the challenging global economic environment, the group shall strive to sustain satisfactory results for FY17," said Yinson.

Yinson shares closed unchanged at RM2.75 today, for a market capitalisation of RM2.97 billion.