Hibiscus Petroleum edges lower despite strong 3Q earnings

by TMR / pic source: hibiscuspetroleum.com

HIBISCUS Petroleum Bhd suffered from profit-taking with its share price falling six sen or 4.2% to RM1.37 yesterday despite posting a strong third quarter 2022 (3Q22) financial performance.

The stock price fell to a low of RM1.29 in intraday trade on the release of the results before fresh buying saw it recover some of its losses.   

Hibiscus Petroleum shares have benefited from the stronger energy price environment. Its stock price has been on an uptrend rising from 82 sen at the beginning of this year to hit a high RM1.51 on May 18.

The upstream oil and gas company posted a net profit of RM307.54 million for the 3Q22 ended March 31, 2022, from RM32.03 million profit it made in the same quarter a year ago, amid high average realised crude oil price and lower average operating costs. 

Revenue for the period totalled RM297.06 million, up from RM215.98 million in 3Q21. 

The company has declared a single-tier interim dividend of one sen per ordinary share in respect of the financial year ending June 30, 2022, payable on July 22, 2022.

In a filing with Bursa Malaysia today, Hibiscus stated it produced 471,973 barrel (bbls) of crude oil, consisting of 300,252bbls from its North Sabah asset, 74,304bbls from the Anasuria Cluster and 97,417bbls from its newly-acquired PM3 CAA (Commercial Arrangement Area) and PM305 and PM314 fields, both in the Malay Basin.

The North Sabah asset made a revenue and gross profit of RM113.1 million and RM80.7 million respectively in the period. 

The segment sold 300,252bbls of crude oil in one offtake at an average realised oil price of US$89.58 (RM393.70) per bbl. Average operating expenditure per barrel was US$12.89, Hibiscus Petroleum informed. 

Hibiscus Petroleum noted it will focus on optimising asset performance of the Anasuria Cluster, North Sabah, PM3 CAA, Kinabalu, PM305, PM314 and Block 46 assets in this strong oil price environment.