Latest news with #PETRONASChemicals
The Star
21-05-2025
- Business
- The Star
PetChem dragged by O&D segment amid challenges
PETRONAS Chemicals managing director and chief executive officer Mazuin Ismail. PETALING JAYA: Petronas Chemicals Group Bhd (PetChem) sustained its operational performance with a plant utilisation rate of 94% in the first quarter of 2025 (1Q25), but its bottomline was weighed down by its olefins and derivatives (O&D) segment amid a challenging market landscape. 'To maintain our resilience and competitiveness amid the current industry downtrun, we remain focused on driving excellence. 'Our unwavering comitment to safe and efficient operations across all facilities continues, as we are currently undertaking repair and maintenance activities at several O&D and fertilisers and methanol (F&M) plants,' said PetChem managing director and chief executive officer Mazuin Ismail. He added that the group is closely monitoring the developments with regards to the US tariffs, and assessing their broader implications on overall market dynamics. During the quarter under review, the petrochemicals group recorded a RM18mil net loss, on the back of a revenue of RM7.66bil, which compares to a net profit of RM668mil and revenue of RM7.5bil in the year-ago quarter. The group said in a statement the O&D business had been affected by a utilities supply disruption in Kertih as well as reduced production in Pengerang Petrochemicals Company Sdn Bhd (PPC) due to feedstock unavailability. The segment subsequently reported a loss before interest, tax, depreciation and amortisation of RM43mil, primarily owing to lower contributions from PPC – mainly due to a lower plant utilisation rate and unrealised foreign exchange loss on revaluation of payables. Meanwhile, the group's fertilisers and methanol (F&M) segment saw an improvement in sales and earnings due to stronger product prices, which offset a slight decline in sales volume. 'Tight global supply and robust seasonal demand led to an increase in prices of approximately 13% and 5% for urea and methanol, respectively.' The segment's quarterly revenue rose slightly to RM2.5bil while earnings before interest, tax, depreciation and amortisation (ebitda) gained 22% quarter-on-quarter (q-o-q) to RM892mil, driven by improved product spreads. In the specialities segment, revenue rose 19% (q-o-q) to RM1.6bil on higher sales volumes. Ebitda rose to RM52mil on stronger contribution margins and sales volume.
The Star
20-05-2025
- Business
- The Star
PETRONAS Chemicals dragged by O&D segment amid headwinds
KUALA LUMPUR: PETRONAS Chemicals Group sustained its operational performance with a plant utilisation rate of 94% in the first quarter of 2025 (1Q25), but its financial bottomline was weighed down by its olefins and derivatives (O&D) segment amid a challenging market landscape. "To maintain our resilience and competitiveness amid the current industry downtrun, we remain focused on driving excellence. "Our unwavering comitment to safe and efficient operations across all facilities continue as we are currently undertaking repair and maintenance activities at several O&D and fertilisers and methanol (F&M) plants," said PETRONAS Chemicals managing director and CEO Mazuin Ismail. He added that the group is closely monitoring the developments with regards to the US tariffs, and assessing their broader implications on overall market dynamics. During the quarter under review, the petrochemicals group recorded a RM18mil net loss, on the back of revenue of RM7.66mil, which compares to a net profit of RM668mil and revenue of RM7.5mil in the year-ago quarter. The group said in a statement the O&D business had been affected by a utilities supply disruption in Kertih as well as reduced production in Pengerang Petrochemicals Company Sdn Bhd (PPC) due to feedstock unavailability. "These external issues, combined with the limited uplift in product prices amid industry oversupply, resulted in the O&D segment recording a 4% decrease in quarterly revenue to RM3.5bil," it said. The segment subsequently reported a loss before interest, tax, depreciation and amortisation (LBITDA) of RM43mil, primarly owing to lower contributions from PPC - mainly due to lower plant utilisation rate and unrealised foreign exchange loss n revaluation of payables. Meanwhile, the group's fertilisers and methanol (F&M) segment saw an improvement in sales and earnings due to stronger product prices, which offset a slight decline in sales volume. "Tight global supply and robust seasonal demand lead to increase in prices of approximately 13% and 5% for urea and methanol, respectively." The segment's quarterly revenue rose slightly to RM2.5bil while earnings before interest, tax, depreciation and amortisation (Ebitda) gained 22% quarter-on-quarter (q-o-q) to RM892mil, driven by improved product spreads. In the specialities segment, revenue rose 19% (q-o-q) to RM1.6bil due to higher sales volumes. Ebitda improved to RM52mil on stronger contribution margins and increased sales volume.
The Star
20-05-2025
- Business
- The Star
Profit-taking continues as uncertain mood prevails on Bursa Malaysia
KUALA LUMPUR: Bursa Malaysia was left out of a regional rally, with the main index continuing its decline as investors took profits out of blue chips. As the market halted trading for the lunch break, the FBM KLCI was down 6.52 points to 1,549.62, with heavyweights such as Maybank and PETRONAS Chemicals dragging on the index. Analyst say the market has entered a consolidation phase in anticipation of fresh leads as corporates release their first-quarter earnings results in the coming days. The number of declining issues on the market was slightly higher than advancing, with a ratio of 1.12-to-1. Volume was 1.61 billion shares transacted for a total of RM853.26mil. Some of the leading laggards outside of the FBM KLCI included F&N down 56 sen to RM26.24, British American Tobacco shedding 15 sen to RM6.45 and Can-One down 12 sen to RM2.10. Elwsewhere, sentiment in Asian markets has been more optimistic with an uptick in equities prices as US Treasuries stabilised overnight after the initial shock of Moody's downgrade of the US sovereign bonds. Hong Kong's Hang Seng was seen leading the pack with a 1.29% jump to 23,634, while the mainland composite index rose 0.38% to 3,380. Japan's Nikei gained 0.29% to 37,606. Across the causeway, Singapore's Straits Times index gained 0.2% to 3,883. Trading ideas: Maybank, KAB, Ibraco, PeterLabs, MCE, Euro, MFM, Johor Plantations, Taliworks, Keyfield, George Kent
The Star
30-04-2025
- Business
- The Star
FBM KLCI rises 1.63% to one-month high; ringgit extends gains to 6-month peak
KUALA LUMPUR: The FBM KLCI closed sharply higher on Wednesday as bargain-hunting emerged following losses in the previous session, amid a mixed performance in regional bourses. The 30-stock index jumped 24.66 points, or 1.63%, to 1,540.22 — its intraday high and the highest level in a month. It was the biggest gain since a 1.79% rise on April 14. The index has risen 1.76% so far this month. Across the broader market, gainers outnumbered decliners 559 to 364, with 2.57 billion shares worth RM2.25bil transacted. The FBM KLCI-component stocks were overwhelmingly positive, with 29 gainers and only one decliner. PETRONAS Chemicals contributed the most to the index gain and had the largest move, increasing 5.76% or 20 sen to RM3.67. On the other hand, QL Resources was the biggest drag on the index and had the biggest drop, declining 0.2%, or one sen to RM4.80. On the broader market, F&N jumped 78 sen to RM27, Allianz rose 26 sen to RM18.40, and Country View gained 24 sen to RM2.33. Meanwhile, Bintulu Port slid 20 sen to RM5.24, Scientex fell 13 sen to RM3.50, and Bursa Malaysia declined 12 sen to RM7.38. Meanwhile, the ringgit rose 0.27% against the US dollar to 4.3158 — its highest in about six months. It has gained 3.65% against the greenback so far. Stock market data showed that on Tuesday, foreign investors and local retailers were net buyers of equities worth RM51mil and RM22mil, respectively, while local institutions were net sellers with RM73mil. Major regional indexes closed mixed, with Japan's Nikkei 225 rising 0.57%, South Korea's Kospi falling 0.34%, and Hong Kong's Hang Seng Index gaining 0.51%. China's CSI 300 Index slipped 0.12%, while the Shanghai Composite Index fell 0.23%.
The Star
23-04-2025
- Business
- The Star
FBM KLCI rises as optimism over US-China negotiations grow
KUALA LUMPUR: Malaysia's main index ended the early session higher as investors latched on to hints from the US President that he was ready to make a deal with China. At 12.30pm, the FBM KLCI was up 8.08 points to 1,494.33, jovering below the 1,500 psychological level as investors remained cautious over the ongoing trade negotiations between the US and China. Nevertheless, the relief rally swept over the domestic market, which registered an advancing issue to declining ratio of 1.84-to-1. Turnover on the market was light with 1.73 billion shares transacted for RM906.29mil. Amid the pickup in shares, key heavyweights included PPB rising 20 sen to RM11.90, Hong Leong Bank jumping 16 sen to RM19.70 and PETRONAS Chemicals gaining 12 sen to RM3.20. Key Asian markets were also buoyed by the lift in sentiment. Hong Kong's Hang Seng leapt 2.41% to 22,081, followed by Japan's Nikkei gaining 1.95% to 34,887. Singapore's Straits Times added 1.01% to 3,833. China's composite index was little changed at 3,301. Wall Street is also expected to open higher as the optimism over an end to the trade war sent investors on a buying spree. S&P 500 futures were up 1.5% at the time of writing while the Nasdaq had gained 1.8%.
