By Chester Tay
MISC Bhd.'s net profit for the second quarter dropped 25%, as the group recorded a higher impairment loss in a depressed oil-price environment amid the Covid-19 pandemic.
Net profit fell to 299.5 million ringgit ($71.4 million), while revenue rose 1.1% from a year earlier to MYR2.19 billion, the shipping arm of state-owned oil company Petroliam Nasional Bhd. said Thursday.
Cumulatively, MISC incurred net loss of MYR857.3 million in the first half of the year, compared with net profit of MYR910.3 million a year ago, despite revenue increasing 5.9% to MYR4.70 billion.
With a large oil-inventory overhang yet to be cleared, MISC said freight rates will likely remain under pressure for the rest of the year.
Write to Chester Tay at chester.tay@wsj.com
