KUALA LUMPUR (June 25): Yinson Holdings Bhd's (KL:YINSON) first-quarter net profit rose by 4.34%, thanks to contributions from the Agogo floating production, storage and offloading (FPSO) vessel, which commenced its charter in August last year.

The energy infrastructure company's net profit for the three months ended April 30, 2026 (1QFY2027) increased to RM120 million from RM115 million a year earlier. 

However, revenue declined 14.71% to RM1.05 billion from RM1.23 billion due mainly to lower engineering, procurement, construction, installation and commissioning (EPCIC) activity following the completion of the Agogo FPSO project while the renewables segment was affected by unrealised foreign exchange losses from a weakening Indian rupee against the US dollar. 

Yinson declared a first interim dividend of two sen per share, amounting to approximately RM58 million, with an entitlement date of Aug 28 and payment on Sept 18.

"We delivered a steady performance in 1QFY2027, supported by long-term contracted revenues, a fully operational fleet, strengthened financial resilience, and a diversified platform across offshore production, renewables and green technologies," group executive chairman Lim Han Weng said in a statement.

"We remain focused on operational excellence, disciplined capital management and delivering sustainable value as we progress through the year," he added.

Looking ahead, Yinson said in Thursday's bourse filing that demand for floating production solutions, particularly in the mid-sized lease-and-operate FPSO conversion segment, is expected to remain strong over the next five years, especially in South America, Africa and Southeast Asia, where the group has an established presence.

The group said opportunities are also emerging in carbon capture and storage and floating liquefied natural gas as the offshore energy industry seeks to decarbonise operations while monetising gas resources.

Yinson said the cash flow from its fully operational FPSO fleet, supported by Yinson Production's contracted revenue backlog of about US$19.3 billion (RM79.4 billion) from long-term charters spanning 20 to 25 years, strengthens its financial resilience and supports future growth.

In addition, the group expects renewables to benefit from rising electricity demand driven by data centres, artificial intelligence infrastructure and electrification, with the sector projected to meet more than 90% of incremental global power demand.

Backed by its long-term contracted revenue base, fully operational FPSO fleet and diversified businesses across offshore production, renewables and green technologies, Yinson said it expects to deliver satisfactory results for the financial year ending Jan 31, 2027, the group added. 

At Thursday's noon break, shares of Yinson settled one sen or 0.52% lower at RM1.92, giving it a market capitalisation of RM6.18 billion.