Meanwhile, the group’s revenue fell 42% y-o-y to RM503.6 million from RM868.37 million in Q4 FY2022.
In a filing with Bursa Malaysia today, the oil and gas exploration and production firm reported that its average net oil production rate in Q4 FY2023 fell slightly short of expectations, standing at 4,465 barrels per day.
This variance was primarily attributed to the commencement of scheduled maintenance activities and a deliberate increase in planned deferment.
As for the whole of FY2023, Hibiscus’ net profit fell 39% to RM400.52 million from RM652.94 million due to negative goodwill from business combinations amounting to RM317.32 million.
Revenue, however, increased to RM2.34 billion from RM1.69 billion, marking a 38% increase.
The group had declared a third interim single-tier dividend of 0.5 sen per ordinary share for FY2023. This brings the total dividends for the financial year to 2 sen per share.
Proposed share consolidation
In a separate statement, Hibiscus also revealed a proposal to consolidate every five of its existing shares into two consolidated shares.
The group explained that the consolidation scheme is to reduce the volatility of its share price, thereby creating a more stable trading environment for its shares.
Furthermore, this initiative is anticipated to increase the appeal of its shares to a broader spectrum of investors, particularly those who seek price stability and long-term growth in their investments.
Upon the successful execution of the consolidation, the total issued share capital of the group will remain unaltered. This means that there will be no adjustment in the proportion of equity interest or the market value of shares held by the existing shareholders.
Moving forward, the group emphasised that ongoing efforts to enhance production in both Malaysia and the UK are progressing as planned, with significant milestones already reached.
“We look forward to the first oil from Teal West in late 2024 or early 2025,” he said.
The Teal West drilling project is planned to commence in the middle of 2024, following the approval of its environmental statement by UK authorities on July 7.
At market close today, the group’s share price was up 2 sen or 2.14% at 96 sen, giving it a market capitalisation of RM1.92 billion.