Petronas posts 40% return on average capital employed

Petroliam Nasional Bhd (Petronas) reported an 8% increase in net profit to RM46.4 billion (US$13.5 billion) for its year ended March 31, 2007. The increase was driven largely by the increased demand for petroleum products and higher crude oil prices. Revenue for the year reached RM184.1 billion (US$53.5 billion) and pre-tax profit was RM76.3 billion (US$22.1 billion), both increasing about 10% from the previous year. Petronas’ balance sheet continued to strengthen with total assets rising 7.8% to RM294.6 billion (US$85.6 billion) while shareholders’ funds expanded 16.3% to RM170.9 billion (US$49.6 billion). Return on average capital employed remained high at 40.9%. Petronas President and Chief Executive Officer Tan Sri Mohd Hassan Marican said Petronas either matched or outdid other major oil players and national oil companies, considering the challenging global environment in the industry during that period. (June 29, 2007)