$YTLPOWR (6742.MY)$ The financial report analysis is as foll...
This financial report analysis is as follows:
1. Income and Profit Performance
As of September 30, 2024, YTL Electrical Utilities' quarterly revenue was 5.68 billion ringgit, a 4.4% year-on-year increase.
Electrical utilities revenue decreased by 13.9%, mainly due to lower market prices.
Water affairs revenue surged 43.1%, reflecting price adjustments allowed by the United Kingdom regulatory institutions and new sources of revenue.
Telecommunications business and investment holding activities grew by 26.8% and 77.1% respectively.
Quarterly pre-tax profit was 0.665 billion ringgit, a 35.6% year-on-year decrease.
Electrical utilities contribution decreased by 27.2%, reflecting declines in retail and market prices.
Positive growth was achieved in water affairs business, attributed to price increases and new projects.
Losses in telecommunications business decreased by 65.6%, mainly due to increased project revenue.
The investment holding loss was due to the widening of foreign exchange losses related to the Jordan project.
2. Comprehensive Income
Net income: The net income attributable to equity holders is 0.471 billion ringgit, a decrease of 44.5% year-on-year.
Other comprehensive income: The company incurred a net loss of 1.96 billion ringgit on foreign exchange and cash flow hedging projects, resulting in a total comprehensive income of -1.45 billion ringgit.
3. Financial Condition
Assets: Total assets are 63.9 billion ringgit, a decrease of 4.2% compared to June 2024. The decrease is mainly attributed to the decline in fixed assets and accounts receivable.
Liabilities: Total liabilities are 45.5 billion ringgit, slightly decreased, mainly due to the repayment of some short-term debts.
Shareholders' equity: Equity attributable to equity holders decreased from 20 billion ringgit to 18.68 billion ringgit, with net assets per share decreasing from 2.45 ringgit to 2.28 ringgit.
4. Money Market
Operating Activities: Net cash inflow of 1.04 billion ringgit, a decrease of 27% compared to the same period last year.
Investing Activities: Net outflow of 2.04 billion ringgit, reflecting significant capital expenditures, including the acquisition of fixed assets.
Financing Activities: Net inflow of 1.4 billion ringgit, mainly from new borrowings.
5. Outlook
Electrical Utilities: The company has launched a 600MW hydrogen power generation project in Singapore and is developing a 500MW solar energy facility in Johor, committed to renewable energy sources.
Water Affairs: Continuously optimizing operations in the United Kingdom while exploring environmentally friendly projects.
Telecommunications: Focused on expanding 5G services, striving to grow the user base.
Investment Holdings: Developing a green datacenter park in Johor and planning to use cecep solar energy to meet future datacenter needs.
6. Risks and Challenges
Exchange Rate Fluctuations: Non-cash forex losses have significantly negative effects on finances.
Market Environment: Electrical utilities revenue is highly sensitive to market prices, while water affairs business is significantly impacted by regulatory policies.
In summary, YTL electrical utilities perform well in water affairs and telecommunications business, but overall performance is hampered by forex losses and declining electrical utilities revenue. In the future, the company aims to strengthen business resilience and improve financial performance through wind power projects and technological upgrades.
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luozn : good sharing
Dragon Fish : That Jordan project loss not ringgit.
Other comprehensive income: The company incurred a net loss of 1.96 billion ringgit on foreign exchange and cash flow hedging projects, resulting in a total comprehensive income of -1.45 billion ringgit.
Dragon Fish : One time only loss. But still can make 470mil profit is considered good not loss yet.![[undefined]](https://static.moomoo.com/nnq/emoji/static/image/default/default-black.png?imageMogr2/thumbnail/36x36 "undefined")
103097752 OP : I think the outlook is still good, and both water and electricity are essential daily necessities for the people.
103128831 : What causes the “other operating expenses” to be so high compared with YoY quarter?