Tenaga Nasional Berhad Full Year 2023 Earnings: Revenues Beat Expectations, EPS Lags

Tenaga Nasional Berhad (KLSE:TENAGA) Full Year 2023 Results

Key Financial Results

• Revenue: RM63.7b (down 13% from FY 2022).
• Net income: RM2.77b (down 20% from FY 2022).
• Profit margin: 4.4% (down from 4.7% in FY 2022). The decrease in margin was driven by lower revenue.
• EPS: RM0.48 (down from RM0.60 in FY 2022).

All figures shown in the chart above are for the trailing 12 month (TTM) period

Tenaga Nasional Berhad Revenues Beat Expectations, EPS Falls Short

Revenue exceeded analyst estimates by 11%. Earnings per share (EPS) missed analyst estimates by 27%.

In the last 12 months, the only revenue segment was Non-Regulated Utility contributing RM63.7b. Notably, cost of sales worth RM41.8b amounted to 66% of total revenue thereby underscoring the impact on earnings. The largest operating expense was Depreciation & Amortisation (D&A) costs, amounting to RM11.3b (59% of total expenses). Explore how TENAGA's revenue and expenses shape its earnings.

Looking ahead, revenue is expected to decline by 1.0% p.a. on average during the next 3 years, while revenues in the Electric Utilities industry in Asia are expected to grow by 3.7%.

Performance of the market in Malaysia.

The company's shares are up 3.0% from a week ago.

Risk Analysis

You still need to take note of risks, for example - Tenaga Nasional Berhad has 2 warning signs (and 1 which can't be ignored) we think you should know about.

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