KUALA LUMPUR: Borneo Oil Bhd (BornOil) reported a net profit and revenue of RM35.51 million and RM15.82 million for the fourth quarter (Q4) ended 30 June 2021 (FY21), an increase of 2,736 per cent and decrease of two per cent respectively.
The sharp increase in net earnings was due to fair value gain on an investment in quoted securities of RM26.46 million, reversal of impairment loss of RM18.63 million and disposal of business assets of RM1.91 million.
For the full year, BornOil's net profit jumped 1,784 per cent to RM28.51 million from RM1.59 million, while revenue decreased 42 per cent to RM51.40 million from RM88.28 million last year.
Its resources and sustainable energy division, in particular, reported profit before tax of RM16.98 million for the quarter due to a gain of RM20.54 million on reversal of impairment loss and disposal of business assets.
The New Straits Times previously reported that BornOil collaborates with Nevada-based Verde Resources of the United States on catalytic biofraction green technology initiatives.
This collaboration has enabled BornOil to penetrate the US market, where global investors have been demanding socially and environmentally conscious initiatives related to green sustainable products.
BornOil executive director Datuk Joseph Ambrose Lee said that the company has aspirations to be a global renewable energy player in converting palm oil waste products to biomass, biochar, biogas, biofuel and wood vinegar.
Under the Biden administration, the proposal of a US$2.25 trillion infrastructure plan will focus on green energy and decarbonisation.
BornOil's other core business is limestone, the main and monopolistic limestone supplier to the cement industries in Sabah and the BIMP-EAGA (Brunei Darussalam–Indonesia–Malaysia–Philippines East ASEAN Growth Area).
The company is also sitting on some strategic properties in Sabah.
The company is also involved in gold mining and trading, while the Sugarbun management team spearheads its food and franchise operations.
BornOil's 'culture of innovation' also launched the popular Sabasco chilli sauce in recent weeks.