KUALA LUMPUR: Keyfield International Bhd

is banking on an improved financial performance in the back half of 2026 as it anticipates growing momentum for its chartering business.

After a slow first-half, Datuk Darren Kee Chit Huei, group CEO and executive director, said there was underlying demand for the group's vessels. 

"The chartering business will be reinforced by the new global and local contracts we announced in June, which will fully commence by 3Q26," he said in his review of the latest results.

This comes after the group posted a weaker second quarter, with net profit contracting to RM23.09mil from RM66.36mil in the year-ago quarter.

Quarterly revenue was also lower, at RM113.52mil against RM131.97mil in the previous corresponding quarter.

Over the first six months of 2026, Keyfield's net profit came to RM79.22mil, down from RM87.04mil in 1HFY25, while revenue had dropped to RM160.7mil from RM218.72mil in the previous comparative period.

A one-off gain of RM25.7mil from the disposal of Keyfield Lestari in the previous year was partly to blame for the current year's dip in performance. There were also timing factors in the form of delays in the commencement of local charters due to customer vessel scheduling requirements.

"All of our vessels deployed in this region, with the exception of our newest vessel, Keyfield Joyful, have since commenced their chartering contracts as of the date of this announcement. We took delivery of Keyfield Joyful in July and expect its chartering contract to commence in 3Q2026," said Kee.

Also weighing on the current year's performance, two of Keyfield's vessels were deployed for the first time to the Middle East, which required a certain amount of time for sailing, pre-hire preparatory works and inspections. The Middle East conflict also temporarily delayed the charter of one of the vessels.

Kee maintained that the revenue stream from the Middle East region remained intact and growing due to the need for energy supplies globally.

"For context, we have had three vessels - two of our own vessels and one third-party vessel - deployed in the Middle East since 2025; we now have five vessels deployed in the Middle East, and all are currently on-hire," he said.

Kee said the group will continue its fleet renewal and recalibration strategy, seeking to enhance its fleet with higher capabilities and the ability to serve a wider range of customers. 

These include the Keyfield Joyful acquisition and the ongoing construction of three new-build vessels comprising one new dynamic positioning class 2 (DP2) Accommodation Work Boat (AWB) vessel and two 90MT dynamic positioning class 2 (DP2) Anchor Handling Tug Supply (AHTS) vessels. 

"Through these initiatives, we have positioned ourselves for an anticipated upswing in offshore activities in 2027 and 2028. 

"Beyond oil and gas, we are actively exploring strategic expansion opportunities across the maritime industry," said Kee.

For the quarter's performance, the board of directors declared a second interim dividend of 1.5 sen per share, with entitlement date on Sept 3, 2026, and payable on Sept 21, 2026.