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KUALA LUMPUR, Nov 23 — Tenaga Nasional Bhd (TNB) recorded a net profit of RM888.90 million in the third quarter ended September 30, 2022 (Q3 FY2022), down 14 per cent from the RM1.03 billion achieved a year earlier.

The utility giant said higher foreign currency translation losses, finance cost and tax expenses offset its operating profit, which improved strongly in spite of a 51.2 per cent rise in operating expenses amid higher generation cost.

Operating profit surged 41.4 per cent year-on-year (y-o-y) to RM2.91 billion on the back of a 47 per cent, or RM6.09 billion, increase in revenue to RM19.07 billion, TNB said in a filing with Bursa Malaysia today.

The group attributed the higher revenue mainly to the higher under-recovery of Imbalance Cost Pass-Through of RM6.11 billion compared with RM1.31 billion in the same quarter last year.

Meanwhile, net profit for the nine-month period ended September 30, 2022, fell 4.7 per cent y-o-y to RM2.65 billion despite a 46 per cent jump in revenue to RM53.87 billion.

“This (lower after-tax profit) was mainly contributed by the higher foreign currency translation losses, finance cost and tax expenses, which includes additional tax on Cukai Makmur for the financial year ending December 31, 2022 (FY2022) amounting to RM414.3 million,” it said.

The board of directors has not recommended any dividend for Q3 FY2022.

On its prospects, TNB said taking into consideration the challenging business environment, the group anticipated “a reasonable performance” for 2022.

“Nevertheless, the group remains cautious and has taken prudent measures in terms of its operational and financial requirements to ensure it remains resilient,” it added. — Bernama