KUALA LUMPUR: Deleum Bhd’s net profit in the second-quarter (Q2) ended June 30, 2017 decreased 8.72 per cent to RM6.70 million from RM7.34 million in the same period a year ago.
The lower earnings was attributable to the lower contributions from both the power and machinery and oilfield services segments.
In an exchange filing today, the supporting specialised products and services provider in oil and gas company’s revenue decreased 8.4 per cent in Q2 to RM106.46 million from RM116.24 million, due to the fall in revenue across all reportable segments.
“The fall was caused by the industry wide lower business activities amidst volatile oil prices, geopolitical concerns and elevated inventories,’ it said.
Moving forward, Deleum said it will continue to concentrate on its core businesses, operating efficiencies and managing cash flow.
“We expect to sustain the current levels of business activities with the work on hand and potential work orders based on outstanding tenders, although margins are expected to be tight,” it said.