KUALA LUMPUR (Aug 28): Alam Maritim Resources Bhd’s (KL:ALAM) FY2026 net profit more than tripled to RM101.91 million from RM31.75 million a year earlier, helped mainly by a RM75.92 million gain from debt waived by scheme creditors following the completion of its debt restructuring.
For the fourth quarter ended June 30, 2026 (4QFY2026), the offshore oil and gas services provider returned to the black with a net profit of RM1.67 million, compared with a net loss of RM12.19 million a year earlier.
Quarterly revenue rose 6.9% to RM91.53 million, driven by more offshore operating days in its subsea segment, according to its Bursa Malaysia filing on Friday.
No dividend was declared for the quarter under review.
Excluding the exceptional item, operating profit from continuing operations rose 6.7% to RM52.45 million for FY2026, while finance costs fell to RM824,000 from RM4.31 million.
The group ended FY2026 with total equity of RM114.08 million, reversing a capital deficiency of RM49.42 million a year earlier, while total borrowings fell 94.8% to RM3.32 million from RM63.64 million.
The decline in full-year revenue to RM373.3 million reflected fewer operational days in the subsea services segment, while revenue from its offshore support vessel (OSV) business plunged 94.9% following vessel disposals under the group's fleet rationalisation exercise.
Subsea services remained Alam Maritim's main revenue contributor, generating RM370.33 million in FY2026, down 10.9% from RM415.40 million a year earlier, while OSV revenue fell to RM2.96 million from RM58.40 million.
Looking ahead, Alam Maritim said its prospects remain closely tied to operating expenditure by major oil and gas companies, particularly Petroliam Nasional Bhd (PETRONAS), with a focus on production maintenance activities.
Citing PETRONAS' 2026-2028 activity outlook, the group pointed to sustained demand for underwater services of between 1,000 and 1,286 diving support vessel days annually through 2028, alongside growing decommissioning activity.
PETRONAS has scheduled 35 facilities for decommissioning in 2026 and another 42 between 2027 and 2030, while 63 to 75 pipelines require annual in-line inspection support.
Alam Maritim said these activities are expected to support continued demand for offshore support and subsea services, particularly inspection, repair and maintenance, which remains the group's core subsea offering.
Alam Maritim's long-serving group managing director and chief executive officer Datuk Azmi Ahmad was remanded by the Malaysian Anti-Corruption Commission (MACC) on Aug 17 to facilitate an ongoing investigation into the findings from the Royal Commission of Inquiry (RCI) into Tabung Haji, before being released two days later and resuming his duties.
The RCI found that about RM278 million had been impaired on the pilgrim fund's investments in Alam Maritim and TH Marine Group as part of its expansion into the offshore support vessel business.
A subsequent recovery assessment estimated that only RM70.4 million of the investments' value could potentially be recovered.
At market close on Friday, Alam Maritim's shares were unchanged at 25.5 sen, valuing the group at RM113.62 million. Year to date, the counter is down 15%.