PetroVietnam Technical Services Corporation (PVS) will likely record revenue and post-tax profits of VND14.7 trillion (US$632 million) and VND736 trillion in 2018, down 12 per cent and 8 per cent year-on-year, respectively.

The information was released in a report by the Ho Chi Minh City Securities Corporation (HSC).

It forecasts that in 2019, PVS’s business results will be promising with a 35 per cent and 74 per cent growth year-on-year, touching VND19.8 trillion and VND1.3 trillion, respectively.

This is based on the rising prices of Brent crude and WTI, averaged at $70 per barrel and $65 per barrel. PVS will also no longer record losses from the remotely operated vehicles (ROV) segment, which has struggled in recent years.

The increasing demand for oil and gas services, together with rising oil prices, especially the progress of the Sao Vang Dai Nguyet offshore gas field project, will help boost PVS’s profits, HSC said.

HSC forecasts this project will contribute 40 per cent to the gross profit in 2019.

In the first six months of this year, PVS reported net revenue of VND7.6 trillion, down 1 per cent year-on-year and fulfilling 59 per cent of its yearly target. Post-tax profit reached VND322 billion, down 43 per cent and fulfilled 58 per cent of the year’s plan. — VNS