KUALA LUMPUR: Oil and gas services and equipment provider, Steel Hawk Bhd achieved more than 2-fold increase in net profit to RM8.17 million for the first quarter (Q1) ended March 31, 2025 (FY25)
from RM3.23 million posted in Q1 FY24.
This strong performance was underpinned by a significant surge in revenue, which rose to RM52.48 million in Q1 FY25, compared to RM19.74 million in Q1 FY24.
The notable improvement in the group’s financial results was driven by the robust performance of its core engineering, procurement, construction, and commissioning (EPCC) division, supported by new work orders secured from Petroliam Nasional Bhd (Petronas) and its group of companies.
The EPCC division generated a substantial RM50.58 million in revenue during Q1 FY25, accounting for 96.38% of total revenue, compared to RM15.89 million, or 80.50%, in Q1 FY24.
The remaining contribution came from the Installation and Maintenance (I&M) segment at RM1.56 million, or 2.97%, and the Supply of Oilfield Equipment (SOFE) segment at RM0.34 million, or 0.65%.
Deputy chairman and executive director Datuk Sharman K Michael said while the company has seen strong momentum in the past, this quarter marks Steel Hawk’s most substantial leap forward to date – both in scale and pace – underscoring the resilience of its business and the positive trajectory it continues to build on.
“In less than a year, we have successfully secured seven contracts in total – an achievement that reflects the significant progress we have made and one that we take great pride in.
“Among our key wins are our appointments as a panel contractor for the construction and modification works of 27 downstream operating plants and for EPCC services for remote operations – both awarded by Petronas Carigali Sdn Bhd (PCSB).
“Additionally, our contract for onshore facilities maintenance, construction, and modification services has been extended by PCSB for another year beyond its original expiry on December 31, 2024.
“Most recently, PCSB awarded us the contract for splash zone structural repair and maintenance services. These significant wins are generating a substantial flow of work and reinforcing our market position. With 14 active contracts to date, we are well-positioned with a steady project flow secured through to 2030.
“As we look ahead to the upcoming quarters, our strategy remains anchored on three core priorities: securing new contract wins, executing projects with the highest standards of efficiency, and maintaining a disciplined approach to cost management.
“Despite ongoing concerns over oil price fluctuations, our performance demonstrates the strength of our business model. It is important to emphasise that Steel Hawk primarily operates in the operating expenditure (Opex) segment rather than the capital expenditure (Capex) segment.
“This strategic focus is a key factor supporting the resilience and sustainability of our operations,“ Sharman said.
Steel Hawk maintained a healthy balance sheet with a manageable net gearing of 0.50 times as of March 31, 2025.
Additionally, the company’s net assets per share increased to 11.13 sen from 9.46 sen recorded as of December 31, 2024.
