Steel Hawk Berhad, an established provider of oil and gas services and equipment, has reported a remarkable financial performance for the first quarter ended 31 March 2025 (1QFY25). The company achieved a more than two-fold increase in net profit, reaching RM8.17 million compared to RM3.23 million in the same period last year (1QFY24).
This strong growth was driven by a significant surge in revenue, which rose to RM52.48 million in 1QFY25, compared to RM19.74 million in the previous year. The substantial improvement was primarily attributed to the robust performance of Steel Hawk’s core Engineering, Procurement, Construction, and Commissioning (EPCC) division, bolstered by new work orders from Petroliam Nasional Berhad (PETRONAS) and its affiliated companies.
The EPCC division alone generated RM50.58 million in revenue during the quarter, accounting for 96.38% of the company’s total income, a notable increase from RM15.89 million or 80.50% in 1QFY24. Other revenue streams included the Installation and Maintenance (I&M) segment, contributing RM1.56 million or 2.97%, and the Supply of Oilfield Equipment (SOFE) segment, adding RM0.34 million or 0.65%.
Steel Hawk’s Deputy Chairman and Executive Director, Dato’ Sharman K. Michael, expressed satisfaction with the company’s performance, highlighting it as a milestone in the company’s continued growth. “We are delighted to report another outstanding set of quarterly results, marking a significant moment in Steel Hawk’s continued growth,” he said. “This quarter represents our most substantial leap forward to date, both in scale and pace, underscoring the resilience of our business and the positive trajectory we continue to build on.”
The company has successfully secured seven contracts in less than a year, significantly enhancing its project portfolio. Key achievements include its appointment as a panel contractor for the Construction and Modification Works of 27 Downstream Operating Plants and EPCC Services for Remote Operations, both awarded by PETRONAS Carigali Sdn. Bhd. (PCSB).
Steel Hawk also secured an extension of its contract for Onshore Facilities Maintenance, Construction, and Modification Services, originally set to expire on 31 December 2024, with an additional award for Splash Zone Structural Repair and Maintenance Services from PCSB. Currently, the company holds 14 active contracts, ensuring a steady project flow secured through to 2030.
Dato’ Sharman outlined the company’s strategic priorities, which include securing new contracts, executing projects with optimal efficiency, and maintaining a disciplined cost management approach. He also noted that despite oil price volatility, the company’s focus on operating expenditure (OPEX) rather than capital expenditure (CAPEX) supports its operational resilience and sustainability.
Steel Hawk’s balance sheet remains robust, with a manageable net gearing ratio of 0.50 times as of 31 March 2025. Additionally, the company’s net assets per share increased to 11.13 sen from 9.46 sen at the end of December 2024.
