MAIN Market-listed Avangaad Bhd [formerly E.A. Technique (M) Bhd] has reported stable underlying performance and strengthening long-term earnings visibility supported by continued contract momentum across its fast crew boat (FCB) and tugboat segments.
The Marine COP (coordinator, operator and partner) posted a 6% year-on-year (yoy) rise in revenue to RM33.47 mil for its 3Q FY2025 ended Sept 30, 2025 (3Q FY2024: RM31.56 mil) driven by higher vessel utilisation and improved charter rates for FCB contracts.
For the cumulative nine-month period, the group’s revenue rose 2.5% yoy to RM95.71 mil (9M FY2024: RM93.37 mil).
However, the significant one-off non-cash income of RM175.9 mil recognised in its 9M FY2024 related to the group’s PN17 (Practice Note 17) regularisation plan and scheme of arrangement (SOA), has rendered Avangaad’s yoy net profit comparisons not reflective of its operational performance.
Excluding one-off items, Avangaad delivered a solid operating cash flow of RM42.7 mil for the nine-month period, a major turnaround from its net outflow position in 9M FY2024.
This improvement was driven by healthier vessel deployment, disciplined working capital management and a more streamlined cost structure following the completion of the regularisation plan.
Stronger vessel utilisation
The interim idle gaps between the conclusion of older FCB contracts and the start-up of new charters in early 2025 have not caused any notable effect on the group’s operational activities or economic results.
As of end-September 2025, Avangaad’s order book stood at RM163.8 mil in firm contract value and RM247.4 mil in optional contract extensions, thus bringing the group’s total order book and extension potential to RM411.2 mil.
Year-to-date (YTD), Avangaad has secured three FCB contracts worth RM29.2 mil, RM66.8 mil in new and extended tugboat charters from Northport, and RM19.0 mil in additional tugboat contract extensions in 3Q FY2025. These wins will continue contributing positively to earnings for its FY2025 and beyond.
“Resilience built on long-term strength continues to anchor our operations. With core earnings holding steady and with new talent joining the team, we’re entering the next phase of growth with confidence and clarity,” commented Avangaad’s executive director Datuk Wira Mubarak Hussain Akhtar Husin.
“This quarter, we achieved stronger vessel utilisation, supported by new contract wins across both our FCBs and tugboats.
“In this industry, technical capability alone is not enough. What truly differentiates us is disciplined execution and the trust our clients place in us to deliver – consistently, safely and at the level of reliability they expect.”
As the Marine COP, Mubarak said Avangaad takes pride in being a partner its clients can depend on.
“Through coordinated operations, sharp operational oversight and relationships strengthened over the years, we continue to build a marine division that stands firm in all market conditions,” he enthused.
“Our team remains committed, capable and ready as we strategically expand our capacity to capture future opportunities.”
For the final quarter and beyond, Avangaad maintains a constructive outlook for the marine logistics sector supported by:
- Strong upstream activity levels;
- Sustained demand for crew transfer and port marine services;
- Consistent utilisation across its diversified fleet; and
- Disciplined cost and cash management.
“The group continues to prioritise contract renewal, operational optimisation and targeted fleet deployment while actively pursuing new opportunities across the oil & gas (O&G) and non-O&G markets,” added Mubarak.
At the close of today’s (Nov 20) market trading, Avangaad was unchanged at 32 sen with 11.54 million shares traded, thus valuing the company at RM424 mil. – Nov 20, 2025
