AVANGAAD Bhd,the Marine COP (coordinator, operator and partner), has unveiled a set of 2Q FY2026 ended June 30, 2026 financials that is predominantly driven by a stronger cash position and continued deleveraging.
Most outstanding of all is that the group’s cash reserve shot up 74% to RM80.7 mil while its operating cashflow remained positive at RM4.5 mil as of its 1H FY2026.
The group’s net gearing moved from 0.05x to -0.03x with group borrowing further reduced by RM2.7 mil.
Overall, the 2Q FY2026 period reflects greater funding headroom and flexibility, thus providing the capacity to support upcoming initiatives and capture emerging opportunities with greater force and agility.
During the period under review Avangaad’s financial footing is also complemented by sustained revenue visibility of RM415.8 mil from its order book and contract extensions alongside a newly secured RM2.4 mil fast crew boat charter contract supporting the group’s near-term chartering pipeline.
This segment continued to build revenue momentum with quarterly revenue inching up 5% quarter-on-quarter to RM32.77 mil from RM31.26 mil in the preceding quarter.
For 1H FY2026, revenue reached RM64.02 mill, up 2.8% from RM62.25 mil in 1H FY2025 which demonstrates continued revenue resilience and contract-driven growth.
Net earnings stood at RM10.48 mil during 2Q FY2026 while 1H FY2026 pre-tax profit and net profit reached RM22.64 mil and RM15.56 mil respectively.
Negative net gearing
The period also saw the successful completion of the sale of floating storage and offloading (FSO) oil vessel FOIS Nautica Tembikai which proceeds contributed to the reported profitability.
“We enter the second half of FY2026 from a different starting point than most in this industry,” commented Avangaad’s executive director Datuk Wira Mubarak Hussain Akhtar Husin.
The final scheme creditor distribution is complete, our net gearing stands at -0.03x and the balance sheet questions that once defined this group are no longer the story.
What remains is operational execution: maximising fleet utilisation, extending contract continuity and converting a stronger financial base into deliberate growth.
Moving forward, the broader macro-economic environment is not benign for the group as offshore and marine logistics demand remain sensitive to oil price cycles, financing costs and shifting trade patterns.
“But that same environment is also re-shaping what the industry needs to look like over the next decade as electrification and battery-linked supply chains begin to move volume through new corridors,” projected Mubarak.
We’re not chasing every opportunity this creates but rather we’re positioning our fleet and operational capabilities to respond when the right demand emerges.
We’re proud of the progress Avangaad has made. After years of managing legacy liabilities, the group has in less than two years under the new management team moved to -0.03x net gearing and a clean balance sheet to deploy resources to support future operational needs.
As of end-June 2026, Avangaad’s firm order book stood at RM153.7 mil which was supplemented by RM262.1 mil in contract extension periods, thus bringing total revenue visibility to RM415.8 mil.
At the close of today’s (Aug 20) market trading. Avangaad was unchanged at 29.5 sen with 82,200 shares traded, thus valuing the company at RM391 mil. – Aug 20, 2026
