Lotte Chemical Titan jumps 17pct in heavy trade, volume at two-month peak
The petrochemical manufacturer, which specialises in olefins, opened slightly lower at 50 sen before jumping to a morning high of 59 sen, up 16.83 per cent.
By the midday break, the stock eased to 57 sen, still up 12.87 per cent or 6.5 sen, with 21.86 million shares traded, its busiest session since May 22. LCT was the fifth most actively traded stock.
The company's most recent update was last week, when it announced a related-party transaction valued at US$2.99 billion (RM12.69 billion) involving a 10-year ethylene supply agreement between two of its Indonesian subsidiaries.
Year-to-date, the stock has fallen 10.94 per cent from 64 sen. It hit a low of 36 sen on April 9. At 57 sen, LCT's market capitalisation stood at RM1.32 billion.
For the first quarter ended March 31, 2025, LCT posted a narrower net loss of RM125.7 million, down 29 per cent from RM178 million a year earlier, supported by improved margins, lower depreciation, and a profit contribution from its associate.
Revenue dropped 22 per cent year-on-year to RM1.49 billion from RM1.92 billion, mainly due to lower average selling prices and reduced sales volume.
By segment, revenue from olefins and derivatives fell to RM361.6 million from RM405.3 million, while polyolefin sales dropped 25 per cent to RM1.13 billion. The group attributed the decline in polyolefin revenue to lower volumes and the depreciation of the US dollar against the ringgit.
As at end-March, LCT's cash and bank balances rose to RM744.7 million from RM467.5 million at end-December. Total borrowings increased to RM9.36 billion from RM8.99 billion, while retained earnings stood at RM1.99 billion.
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