PETALING JAYA: Yinson Holdings Bhd

is poised to receive steady, contracted income streams for the next few decades as its largest floating production, storage and offloading (FPSO) vessel, Agogo FPSO, will commence its charter period in the coming year.

In a filing with Bursa Malaysia, the group reckoned this commencement signals a transition into a phase of stable growth.

According to the leading operator of FPSO vessels worldwide, it will apply measures to prudently manage inflation and interest rate risks including hedging, effective forecasting, diversification of costs across geographical markets and factoring inflation risk into its contracts.

“As part of our ongoing efforts to focus on the core areas of our business, we will also strategically and continuously review our non-FPSO businesses for streamlining opportunities,” it said.

The group is said to have registered a strong demand for its services because of its edge in emissions reduction technologies and a solid track record of on-time delivery and safety and operational performance.

“The demand for FPSOs is positive with the increase in project sanctions around the world particularly from Brazil, being the highest FPSO demand centre, followed by West Africa.

“The broader effect of elevated energy prices is the acceleration of the energy transition, as more investments pour into developing renewable and alternative sources of energy, which has the progress of our renewables pipeline in our core market,” it noted.

The group added it was optimistic about the future of its core business, as it expects the investment into building the right foundations on sustainability will hold it in good stead amid uncertainties.

Geopolitical uncertainties, inflation and tightened financial conditions were among the concerns the group foresees.

Meanwhile, on its earnings, Yinson posted a lower net profit of RM115mil for the first quarter ended April 30, 2025 compared to the RM203mil posted in the same quarter last year.

The group said the decrease was on the back of lower revenue contribution from engineering, procurement, construction, installation and commissioning activities.

Its revenue for the quarter had also fallen to RM1.23bil from RM2.21bil for the same quarter a year ago as FPSO Maria Quiteria and FPSO Atlanta achieved first oil on Oct 15, 2024 (3Q25) and 4Q25, respectively, and the Agogo FPSO is in the final stages of construction.

“The actual progress of our projects under construction is in line with the group’s expectations.

“While there was a higher contribution from the operations of FPSO Maria Quiteria and FPSO Atlanta, it was offset by the impact of the disposal of Yinson Boronia Consortium Pte Ltd,” it explained.

Its board of directors declared an interim single-tier dividend of two sen per share for the financial year ending Jan 31, 2026 with the entitlement date on Sept 4, 2025 and payable on Sept 26, 2025.