The year 2015 was a remarkable one for MISC Berhad. We embarked on our journey of rediscovery and rebuilding, as well as set in place the building blocks for the Group’s sustained growth. Despite the very real challenge of the weak oil price environment, which affected the fortunes of many a company, MISC implemented several effective strategies to turn in a solid performance. We believe we have made good headway over the years and are encouraged by the results which have strengthened our position to grow in a more energised and sustainable manner. I am confident that we are certainly on t r ac k t o de l i v e r a s u s t a i nab l e performance as we steer a steady course towards new heights of success. SOLID FINANCIAL PERFORMANCE I am pleased to report that for the financial year ended 31 December 2015, the MISC Group turned in a solid performance registering revenue of RM10.91 billion, 17.3% higher than the preceding year’s revenue of RM9.30 billion. Improved freight rates for the Petroleum shipping segment, the fullyear finance lease income from a Floating Production, Storage and Offloading (FPSO) unit, as well as En g i n e e r i n g , P r o c u r eme n t a n d Construction (EPC) revenue from a number of projects all helped strengthen Group revenue. The Group’s profit before tax (PBT) rose 6.5% to RM2.57 billion in 2015 from PBT of RM2.41 billion in 2014. This came on the back of higher profit in the Petroleum shipping segment and lower loss from operating a smaller fleet of vessels on the Chemical shipping front. Dear Valued Shareholders, On behalf of the Board of Directors, it is with great pleasure that I present to you the Annual Report and Audited Financial Statements of MISC Berhad and its subsidiaries for the financial year ended 31 December 2015. GOOD SHAREHOLDER VALUE CREATION I am particularly delighted to report that t he Group ’s ba l ance shee t has strengthened dramatically through the restorative measures we have been undertaking these past few years and will serve us well in our renewed pursuit of growth. At the end of 2015, MISC’s cash balances stood at RM5.65 billion, 16.8% higher than the preceding year’s figure, while our net debt-to-equity ratio improved to 0.02 from 0.14 in the preceding year following an increase in shareholders’ equity and the reduction in total borrowings. We registered improved earnings per share (EPS) of 55.3 sen in 2015 against EPS of 49.4 sen previously. As at 31 December 2015, shareholders’ equity of RM35.36 billion was 27.4% higher than the preceding year’s figure of RM27.76 billion. Our stronger financial position has placed us on firmer footing and is enabling us to refocus on a more aggressive growth trajectory. Moreover, it places us in a position to capitalise on bargain opportunities particularly during the prevailing Oil & Gas industry downturn. For instance, we now have the opportunity to purchase or lease floating assets with good charter contracts from upstream developers whom may be in financial distress. This would complement the 16 floating offshore units we now own alongside our fleet and bolster our overall fleet capability. Revenue +17.3% Operating Profit +51.1% 10,908.4 2015 2014 2013 9,296.3 8,971.8 2,782.6 2015 2014 2013 1,841.7 1,552.6 RM Million RM Million MISC BERHAD Annual Report 2015 45
RkJQdWJsaXNoZXIy NDgzMzc=