Disclaimer: This article is in no way financial advice, nor solicitation to buy or sell shares in this company. It is purely for educational purposes only. You are highly recommended to conduct all necessary due diligence and make your own informed decisions before making any financial decisions. The writer already owns shares in this company and may at any point in time increase or reduce their position without prior notice. Do not try to copy trade!

For background information and more details about the company, please refer to our earlier articles here: https://www.doitduit.com/archive?tags=Yinson

Yinson just announced their Q2 results. In general, the company cash flow is progressing positively. I will focus on the main points from the announcement and subsequent briefing. Let’s get into it.

Strong improvement in Operating Cash Flow — On track to turn positive this year

The major highlight in this quarter report is Yinson’s strong recovery in Operating Cash Flow (OCF).

Compared to a year ago, the net negative OCF stands at -RM184 mil. This is the final quarter leading up the FPSO Agogo’s completion, which is represented by the ~RM700 mil outflow from contract liabilities.

Notably, FPSO Agogo was delivered about 4 months ahead of schedule, so you can be sure they did a big final push to complete this project in such a timely manner.

The final projects left are considerably small, with FSO Lac Da Vang (Secured in Dec 2024) at around US$160 mil and FSO Block B (secured in Jul 2025) at US$230 mil proportionate to Yinson’s 49% ownership in those projects.

For context: FPSO Agogo was a US$5.3 bil project.

Yinson incurred some one-off financing costs with regards to the re-financing activity of FPSO MQ; to convert its project loan into a 20-year bond with coupon rate of 8.498%.

I shared briefly about this event in the paid subs telegram group before, so if you haven’t joined yet, please do join here for faster update on market news: https://t.me/+pAagw_5jGUM1MGI9.

Going forwards I expect Yinson to have some financing cost savings through this activity, and I also expect them to do the same for FPSO Agogo’s project loan in the near future.

Separately, another interesting development happened.

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