KUALA LUMPUR (Sept 29): Vantris Energy Bhd (KL:VANTNRG), formerly known as Sapura Energy Bhd, remained in the red in the second financial quarter, with net loss widening to RM230.76 million from RM5.26 million a year earlier, mainly due to foreign exchange losses amounting to RM239 million, mostly unrealised, due to the weakening of the US dollar against the ringgit.
Revenue for the second quarter ended July 31, 2025 (2QFY2026) fell 12% to RM1.06 billion from RM1.21 billion in 2QFY2025, reflecting reduced contributions from the engineering and construction (E&C) segment and lower rig utilisation in the drilling segment, a bourse filing showed. No dividend was declared.
Operating profit dropped to RM286.3 million from RM347.1 million, with the fall partly cushioned by a higher share of profit of RM26.2 million from joint ventures, led by the Brazil joint-venture group — Seabras Sapura Holding GmbH and Seabras Sapura Participações SA — due to improved utilisation and charter rates.
Despite the loss, the group reported a recovery at the Ebitda or earnings before interest, taxes, depreciation and amortisation level at RM47 million, compared to a RM275 million loss in 1QFY2026.
For the first half of FY2026, Vantris Energy recorded a net loss of RM708.71 million against a net profit of RM76.9 million a year earlier, as revenue fell 21.8% to RM1.87 billion from RM2.38 billion.
Restructuring and latest operations
As at end-July, the group’s order book stood at RM7.1 billion, down from RM7.9 billion in the previous quarter, as Vantris Energy sought to de-risk its portfolio and sharpen its focus on Asia-Pacific opportunities. In July, the group secured two contracts worth over RM500 million in Thailand for subsea and decommissioning services under its E&C and operations and maintenance segments.
Meanwhile, it said its drilling segment remained resilient, with nearly all rigs under contract — save for two — supporting steady earnings through long-term commitments in Malaysia, Thailand, and West Africa.
“This quarter reflects tangible progress in our efforts to stabilise the business,” said group chief executive officer Muhammad Zamri Jusoh. “We are cautiously optimistic about our turnaround. To move forward, we must close operational gaps with discipline, improve project execution, and enhance risk management practices.”
The group also marked the implementation of its regularisation plan on Sept 26. The plan's key components included a capital reduction to offset accumulated losses and a 20-to-one share consolidation to enhance share trading price and reduce price volatility. A debt restructuring exercise also saw Vantris Energy cutting its borrowings from about RM10.8 billion to RM5.6 billion.
It plans to settle its outstanding debts with its preferred unsecured creditors, including the Malaysian oil and gas ecosystem vendors, within 90 days from Sept 26, as agreed in their scheme of arrangement. “Our focus now is on building disciplined operational excellence to ensure the benefits of the restructuring translate into sustainable profitability”, Zamri added.
The group aims to exit its Practice Note 17 status for financially troubled companies after achieving two consecutive quarters of profitability.