This was mainly due to lower operating expenditures and tax expenses partially offset by lower average prices.
The Group’s revenue for the year dipped by 17 percent to RM204.9 billion from RM247.7 billion in 2015. The decrease reflected the lower average prices in line with the downward trend of key benchmark prices (Dated Brent and Japan Customs Cleared Crude) coupled with the impact of lower sales volume.
Cumulative 2016 Earnings Before Interest, Tax, Depreciation and Amortization (EBITDA) was RM70.4 billion compared to RM75.5 billion recorded in 2015.
Cash flows from the Group’s operating activities also decreased from RM69.6 billion in 2015 to RM53.8 billion due to lower average prices, partially offset by lower tax paid.
The Group’s continuous efforts to reduce cost had contributed in 8 percent or RM4.1 billion decrease in controllable costs to RM49.1 billion compared to RM53.2 billion in 2015.
Total assets and shareholders’ equity increased to RM603.3 billion and RM380.3 billion respectively, contributed by the impact of weakening of Ringgit against US Dollar exchange rate and favourable movement on fair value of available-for-sale financial assets.
Gearing ratio increased to 17.4 percent compared to 16.0 percent recorded last year. This was due to higher borrowings following additional drawdown made during the year. Return on Average Capital Employed (ROACE) increased to 5.3 percent compared to 5.1 percent in 2015 in line with the Group’s higher profits.
Capital investments for the year was reduced by 22 percent to RM50.4 billion following project deferment and rephasing as well as cost optimisation efforts.
Meanwhile, Petronas’ quarter four profits recorded a strong 85 percent jump in PAT to RM11.3 billion from RM6.1 billion recorded in the previous quarter.
The RM5.2 billion increase was primarily driven by higher average realised product prices and sales volume mainly from LNG and processed gas as well as impact of favourable exchange rate partially offset by higher taxation.
Revenue rose by 20 percent to RM58.6 billion from RM48.7 billion in the preceding quarter.
EBITDA for the quarter also grew by 44 percent to RM21.9 billion in line with the Group’s higher profits.
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