O&G firms’ earnings unlikely to shrink further

Really? Mine are shrinking, along with other things due to stress generated by the ongoing business climate.

Dateline 2016-06-15, NST:

Earnings of local oil and gas (O&G) firms are not likely to shrink further as the downtrend in crude prices has largely stabilised and even tested new highs recently, analysts said. The 31 listed O&G companies saw aggregate 2015 revenue drop a moderate 18 per cent but pre-tax profit plummet 57 per cent, exacerbated by the impairment of assets and intangibles. RAM Ratings expects average Brent crude price of US$40 (RM163.60) a barrel this year and US$45 a barrel next year. It said crude prices are likely to stay volatile in the coming months, pressured by a slew of uncertainties over supply growth and concerns on unsustainable consumption growth in major consumer markets.

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