For 1Q2025, Velesto achieved a profit after tax (‘PAT’) of RM53 million, with a higher PAT margin of 23% (1Q2024: 14%). This was on the back of a revenue of RM225 million. Earnings before interest, taxes, depreciation and amortisation (‘EBITDA’) stood at RM113 million, with EBITDA margin improving to 50% (1Q2024: 39%). 

The stronger performance was supported by an increase in average daily charter rate to USD127k/day (1Q2024: USD107k/day), which helped offset the lower rig utilisation rate of 67% (1Q2024: 94%), primarily due to the idle periods of NAGA 3 and NAGA 5. 

Megat Zariman Abdul Rahim, President of Velesto, said, “The 1Q2025 results reflect Velesto’s ability to sustain strong bottom-line performance despite market headwinds. It also reaffirms the strength of our operational excellence and disciplined cost management.” 

"The increasing offshore activities in Southeast Asia signal strong market momentum, as reflected in our recent contract wins in Vietnam and Indonesia. We are strategically focused on maximising rig utilisation, maintaining cost efficiency to sustain healthy margins, and driving shareholder returns. Our priority remains clear—delivering long-term, sustainable value to all stakeholders,” he added. 

Supporting the Group’s outlook, the Special Periodical Surveys (‘SPS’) for NAGA 8 and NAGA 3 are on track for completion in the second quarter of 2025. Following the completion of SPS, NAGA 8 is scheduled to commence operations in Indonesia in the third quarter of 2025. As at April 2025, Velesto’s order book has doubled to RM1.4 billion, providing earnings visibility until 2028.