How did the LNG segment perform for MISC in FY2020?

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MISC's LNG Segment Revenue Increased in FY2020 Despite Overall Net Loss

MISC Bhd's liquified natural gas (LNG) segment demonstrated revenue growth in the financial year ended December 31, 2020 (FY2020), with earnings rising by 2.7 per cent to RM2.65 billion. This increase was primarily attributable to a higher number of earning days achieved due to a reduction in dry-docking activities. While the LNG operating profit saw a marginal increase of RM600,000 compared to the previous year, reaching RM1.19 billion, this was counterbalanced by elevated vessel operating costs incurred during the same period.
Increased Revenue Driven by Operational Efficiency

The revenue generated by MISC's LNG segment reached RM2.65 billion in FY2020, marking a 2.7 per cent rise from the prior year. This positive performance was directly linked to an increase in earning days. Fewer instances of ships undergoing dry-docking meant that the fleet was available for longer periods, thus contributing to higher revenue generation.
Marginal Increase in Operating Profit

The operating profit for the LNG segment stood at RM1.19 billion for FY2020. This figure represented a modest increase of RM600,000 when compared to the profit recorded in the corresponding financial year. Despite the overall positive trend in operational profit, this gain was significantly impacted by other financial factors.
Higher Operating Costs Offset Profit Gains

While the LNG segment experienced an increase in operating profit, this was mitigated by an escalation in vessel operating costs. These higher expenses during FY2020 absorbed a portion of the profit gains, impacting the net financial outcome for the segment.

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How did the LNG segment perform for MISC in FY2020?

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