Latest news with #PETRONASChemicalsGroupBerhad
BusinessToday
20-05-2025
- Business
- BusinessToday
PCG Disappoints With Q1 Loss Of RM18 Million, Cites Challenging Market
PETRONAS Chemicals Group Berhad announced its financial results for the first quarter (1Q 2025) in the financial year ending 31 December 2025, reporting a loss of RM18 million against a profit of RM668 million in the previous year's first quarter. The Group sustained its operational performance with plant utilisation rate of 94% in 1Q 2025, comparable to 4Q 2024. Revenue grew 3% quarter-on-quarter to RM7.7 billion driven by higher average prices of urea, methanol, and polyethylene as well as improved sales performance in the specialties segment. Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) rose 26% to RM892 million, supported by better spreads for urea, methanol, methyl tert-butyl ether (MTBE) and olefin derivatives, coupled with reduced operational costs. However, Profit After Tax (PAT) declined to RM18 million from RM668 million in the previous quarter, largely due to unfavourable foreign exchange movement. During the quarter, PCG said the Olefins & Derivatives (O&D) segment overcame utilities supply disruption that impacted several plants in Kertih, as well as reduced production at the 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 RM3.5 billion. The segment reported Loss Before Interest, Tax, Depreciation and Amortisation (LBITDA) of RM43 million, primarily attributed to lower contributions from PPC, mainly due to lower plant utilisation rate and unrealised foreign exchange loss on revaluation of payables. The Group's Fertilisers & Methanol (F&M) segment recorded an overall improvement in sales and earnings supported by stronger average product prices despite a slight decline in sales volume. Tight global supply and robust seasonal demand led to increase in prices of approximately 13% and 5% for urea and methanol, respectively. The F&M segment recorded a higher quarterly revenue of RM2.5 billion while EBITDA rose 22% quarter-on-quarter to RM892 million, driven by improved product spreads. Commenting on the 1Q 2025 performance, Mazuin Ismail, Managing Director/Chief Executive Officer of PCG, said 'Our resilience in navigating the challenging market landscape underscores the strength of our diversified portfolio. The improvement in EBITDA reflects our ongoing efforts on operational excellence with commendable plant utilisation rate achieved by our commodities business, despite setbacks in January 2025 that temporarily impacted operations at several plants in Kertih.' On the implications of US tariffs to PCG, Mazuin said, 'We are closely monitoring these developments and assessing broader implications on the overall market dynamics.' Related
Barnama
20-05-2025
- Business
- Barnama
PCG Demonstrates Resilience On Strength Of Diversified Portfolio
KUALA LUMPUR, May 20 (Bernama) -- PETRONAS Chemicals Group Berhad (PCG or the Group), today announced its financial results for the first quarter (1Q 2025) in the financial year ending 31 December 2025, against the backdrop of an increasingly challenging chemicals market. The Group sustained its operational performance with plant utilisation rate of 94% in 1Q 2025, comparable against 4Q 2024. Revenue grew 3% quarter-on-quarter to RM7.7 billion driven by higher average prices of urea, methanol, and polyethylene as well as improved sales performance in the specialties segment. Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) rose 26% to RM892 million, supported by better spreads for urea, methanol, methyl tert-butyl ether (MTBE) and olefin derivatives, coupled with reduced operational costs. However, Profit After Tax (PAT) declined to RM18 million from RM539 million in the previous quarter, largely due to unfavourable foreign exchange movement.
Barnama
14-05-2025
- Business
- Barnama
Yes, Plastic Recycling Works — Here's The Full Picture
PETALING JAYA, Selangor, May 14 (Bernama) -- We refer to the recent article titled "Recycling Plastic Does Not Work" (The Star, 11 May 2025) by Mangai Balasegaram. While we appreciate the growing concern around plastic pollution, we are compelled to respond to several inaccuracies and generalisations that risk misleading the public about both the plastic industry and the role of recycling in building a sustainable future. The title itself — 'Recycling plastic does not work' — is a sweeping and inaccurate statement that disregards progress, innovation, and the evolving science and infrastructure of plastic recycling. Malaysia has some of the largest and most advanced recycling operations in Southeast Asia, processing both locally sourced and imported industrial-grade plastic scrap into high-quality raw materials and supplying to global brands and companies across multiple sectors. Commonly used plastics such as PET (Type 1), HDPE (Type 2), and PP (Type 5) are being successfully recycled in the country through mechanical recycling. PETRONAS Chemicals Group Berhad's advanced chemical recycling plant, expected to be operational by first half of 2026, will enable previously hard-to-recycle plastics to be transformed into new materials, giving them a second life through chemical recycling, further growing the local plastic recycling sector.
Barnama
23-04-2025
- Business
- Barnama
PCG Navigates Challenges and Focuses on Delivering Growth
KUALA LUMPUR, April 23 (Bernama) -- PETRONAS Chemicals Group Berhad (PCG) on 22 April 2025 has held its 27th annual general meeting (AGM) to present the Company's performance to its shareholders for the financial year ended 31 December 2024. The AGM was chaired by PCG Chairman, Datuk Sazali Hamzah, with all the Board members, PCG Managing Director/Chief Executive Officer, Mazuin Ismail and Chief Financial Officer, Mohd Azli Ishak, in attendance. In addition, Mazuin shared the Company's performance, growth plans and outlook for 2025. Improved Operational and Commercial Performance In 2024, PCG demonstrated strong operational and commercial resilience despite significant challenges, including geopolitical disruptions, rising energy costs, and continued market oversupply. These factors led to inflationary pressure and slowed economic growth, further impacting the already competitive chemicals industry.
Yahoo
21-04-2025
- Business
- Yahoo
PETRONAS Chemicals Group Berhad (KLSE:PCHEM) shareholders have endured a 66% loss from investing in the stock three years ago
If you are building a properly diversified stock portfolio, the chances are some of your picks will perform badly. But long term PETRONAS Chemicals Group Berhad (KLSE:PCHEM) shareholders have had a particularly rough ride in the last three year. Sadly for them, the share price is down 69% in that time. And more recent buyers are having a tough time too, with a drop of 53% in the last year. Shareholders have had an even rougher run lately, with the share price down 33% in the last 90 days. It's worthwhile assessing if the company's economics have been moving in lockstep with these underwhelming shareholder returns, or if there is some disparity between the two. So let's do just that. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). PETRONAS Chemicals Group Berhad saw its EPS decline at a compound rate of 46% per year, over the last three years. This fall in the EPS is worse than the 32% compound annual share price fall. So the market may not be too worried about the EPS figure, at the moment -- or it may have previously priced some of the drop in. The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers). This free interactive report on PETRONAS Chemicals Group Berhad's earnings, revenue and cash flow is a great place to start, if you want to investigate the stock further. As well as measuring the share price return, investors should also consider the total shareholder return (TSR). The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. It's fair to say that the TSR gives a more complete picture for stocks that pay a dividend. In the case of PETRONAS Chemicals Group Berhad, it has a TSR of -66% for the last 3 years. That exceeds its share price return that we previously mentioned. This is largely a result of its dividend payments! While the broader market lost about 2.5% in the twelve months, PETRONAS Chemicals Group Berhad shareholders did even worse, losing 52% (even including dividends). Having said that, it's inevitable that some stocks will be oversold in a falling market. The key is to keep your eyes on the fundamental developments. Regrettably, last year's performance caps off a bad run, with the shareholders facing a total loss of 5% per year over five years. We realise that Baron Rothschild has said investors should "buy when there is blood on the streets", but we caution that investors should first be sure they are buying a high quality business. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. For example, we've discovered 2 warning signs for PETRONAS Chemicals Group Berhad that you should be aware of before investing here. We will like PETRONAS Chemicals Group Berhad better if we see some big insider buys. While we wait, check out this free list of undervalued stocks (mostly small caps) with considerable, recent, insider buying. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Malaysian exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
