Petronas posts RM55.3 billion profit after tax for 2018

Petronas says it has enough cash to honour its commitment to the government.

KUALA LUMPUR: Petronas recorded a profit after tax of RM55.3 billion on the back of revenue of RM251 billion for the financial year 2018, the state oil company announced today.

This is a RM10 billion increase from the previous year, when it recorded a profit after tax of RM45.5 billion in 2017, and a revenue of RM223.6 billion.

Petronas group CEO Wan Zulkiflee Wan Ariffin attributed the strong results to the company’s efficiencies, fiscal discipline and operational excellence.

“Petronas has recorded a strong financial performance in 2018 supported by our ongoing drive to increase operational efficiency and commercial excellence,” said Wan Zulkiflee.

Total assets of the company increased to RM636.3 billion compared to RM599.8 billion in 2017.

Asked if Petronas could pay the normal dividend of RM24 billion and special dividend of RM30 billion to the government, Wan Zulkiflee said the company had comfortable cash levels to honour its commitment.

“We have begun paying the dividend to the government in tranches since January,” said Wan Zulkiflee.

The company had healthy cash balance of RM181 billion as at Dec 31 last year.

It spent RM46.8 billion as capital expenditure, with the amount to top RM50 billion this year.

Last year, 54% of its capital expenditure was spent in Malaysia and the remainder was spent overseas. -FMT