MTQ Corporation, engineering specialist in the fabrication, repair and maintenance of oilfield equipment, has reported a net profit attributable to shareholders of $12 million for the financial year ended 31 March 2010 (FY2010).

The group registered a 9% decrease in FY2010 revenue to $82 million compared to $89.9 million in FY2009. This is mainly due to the weaker demand for the repair, complementary fabrication and equipment rental businesses under the Oilfield Engineering division, which contributed $40.3 million or 49% of total revenue.

However, the decrease was partially offset by a 17.5% growth in revenue for Engine Systems division, which resulted in $41.2 million of sales and accounted for 50% of the group’s revenue.

As a result of the above, basic earnings per ordinary share increased from 12.10 cents in FY2009 to 13.67 cents in FY2010, calculated based on 90.8 million shares and 88.1 million shares respectively.

MTQ says it continues to maintain a strong balance sheet with net cash of $16.9 million as at 31 March 2010, supported by healthy net operating cash flows of $3.9 million. Net asset value per ordinary share stood at 84.02 cents per ordinary share as at 31 March 2010 (31 March 2009: 65.29 Singapore cents).

MTQ has recommended a tax-exempt (one tier) final dividend of 2 cents per ordinary share for FY2010, subject to shareholders’ approval at the forthcoming Annual General Meeting in July 2010. Combined with the interim dividend of 1 cent paid per ordinary share, the proposed total dividend in respect of FY2010 will be 3 cents per ordinary share (FY2009: 3 cents).