KUALA LUMPUR (Dec 12): Vantris Energy Bhd (KL:VANTNRG) rose on Friday to its highest level in nearly a month after investors cheered the group’s one-off RM4.47 billion gain from debt forgiveness in its latest quarterly results.

Shares of Vantris Energy climbed as much as 11 sen, or over 30%, to 47 sen — the highest since Nov 17 — before paring gains to trade at 46.5 sen, still up 10.5 sen or more than 29%. At its latest price, the oil and gas services provider had a market capitalisation of RM1.08 billion.

Trading volume topped 24.3 million shares, more than four times its 90-day average of 5.15 million, making it one of the most actively traded counters on Bursa Malaysia.

The group, formerly known as Sapura Energy Bhd, posted a net profit of RM4.27 billion for the third quarter ended Oct 31, 2025 (3QFY2026), compared with a net loss of RM293.06 million a year earlier, after recognising the one-off RM4.47 billion gain from debt forgiveness following its financial restructuring.

The restructuring — which involved issuing new shares and securities to settle outstanding liabilities, lowering total borrowings to RM5.7 billion from RM10.76 billion — was completed on Sept 26. It resulted in Malayan Banking Bhd (KL:MAYBANK), CIMB Group Holdings Bhd (KL:CIMB) and RHB Bank Bhd (KL:RHBBANK) emerging as the group’s top three shareholders with stakes of 20.27%, 12.13% and 7.21%, respectively.

Despite the headline profit, the group recorded an operating loss of RM97.07 million for 3QFY2026, versus an operating profit of RM215.11 million a year earlier, as operating expenses rose 14.9% to RM1.08 billion.

BIMB Securities — one of only two research houses covering Vantris — said that excluding the debt forgiveness, the group’s core profit after tax would have swung to a RM151 million loss, underscoring persistent challenges in the engineering and construction (E&C) segment, particularly the underperforming Angola project that continues to drag overall profitability.

Still, BIMB expects E&C losses to narrow in the fourth quarter as the Angola job nears completion.

The research house also noted that Vantris’ RM28.9 billion tenderbook remains concentrated in Asia-Pacific E&C work, as the group pivots towards dayrate transportation and installation contracts to reduce exposure to high-risk lump-sum engineering, procurement, construction, installation and commissioning (EPCIC) projects.

BIMB maintained its “buy” call on the stock with a target price of 72 sen, expressing confidence that Vantris is on track to deliver the two consecutive profitable quarters needed for a PN17 exit, supported by tighter cost control, a stronger balance sheet, and lower financing costs.

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