TNB profit dips 4.3% YoY in first 9 months

It was affected by higher foreign currency losses.

Malaysia’ Tenaga Nasional Berhad (TNB) recorded a 4.3% year-on-year (YoY) decline in profit after tax in the first nine months to RM2.75b mainly driven by the higher foreign currency translation losses, finance cost, and tax expenses including Cikai Makmur for the financial year.

In a statement, TNB said its financial performance during the period was fair on the back of higher Group electricity demand of 7.2% YoY in line with the country’s economic growth.

The Group revenue without cost recovery of the Imbalance Cost Pass-Through (ICPT) for the period rose by 6.6% YoY to RM37.95b due to the rise in sales of electricity in all sectors.

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Its under-recovery of ICPT for the period jumped to RM15.92b from RM1.3b due to the current high fuel price, said TNB President and CEO Dato’ Indera Ir. Baharin Din.

The company’s earnings before interest, taxes, depreciation and amortisation (EBITDA) rose to RM16.31b from RM14.39b in the same period last year, with the EBITDA margin without ICPT cost recovery improving to 43% from 40.4% last year, indicating improved operational performance.