Summary Box: Malaysian Sime Darby posts 2nd straight quarterly loss on troubled energy arm

Summary Box: Malaysia’s Sime Darby posts loss

DOWN ARROW: Malaysian conglomerate Sime Darby, the world’s largest oil palm company, reported its second straight quarterly loss due to problems in its troubled energy and utilities division.

RESULTS: Sime posted a loss of 77.4 million ringgit ($24.6 million) for the quarter through June, reversing year-ago net income of 984 million ringgit ($313 million).

REASONS: The loss was mainly due to delays and cost overruns for four key projects in the energy and utilities arm, namely the Bakun hydroelectric dam venture on Borneo and three others in the Middle East. The problems were revealed earlier this year following an internal probe, prompting Sime to remove its chief executive.