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Arabian Business
a day ago
- Business
- Arabian Business
Inside the $2 billion rise of Petrochem's Yogesh Mehta – and what comes after
There's something disarming about Yogesh Mehta. For a man who built a $2 billion juggernaut from the dust, he makes you feel like he's just glad you showed up for lunch. 'I'm in the twilight zone,' he smiles. 'That's the best part of the clock. 9 PM to midnight. Whatever I want, I will do. Whoever I want to make happy, I will.' That's not the usual talk of a Gulf tycoon. But then again, Yogesh Mehta was never predictable – and never tried to be. He began working at 16. Not for pocket money, but to pay bills. By the time he landed in Dubai at 29, Mehta had already weathered the kind of personal and professional storms most would never recover from. 'We didn't have jam on the table. We were just trying to keep the lights on.' Back then, there was no LinkedIn, no mentors, and certainly no start-up ecosystem. Just a dusty library, a Yellow Pages, and a gut instinct that said: this place has promise. 'You carved water out of stone,' he says. Petrochem, the chemical distribution business he would go on to build, started with $300,000 in turnover. Today, it moves over $2 billion worth of product annually. From a single office in Dubai, Petrochem now spans London, Singapore, India, Taiwan, Egypt, and beyond. It is the largest chemical distributor in the Middle East and ranks among the top dozen globally. But Mehta rarely leads with numbers. He leads with feeling. 'We are a happy company. Our happiness quotient would be 100 out of 100.' Legacy in motion These days, Mehta isn't sprinting to win the race. 'I've already won,' he says. 'Why would I keep running if no one is behind me?' The line is vintage Mehta: calm, reflective, gently humorous. Yet his presence is anything but ceremonial. He still puts in six to nine hours a day, mentors key talent, and travels for business. Colleagues joke that he's 'semi-retired in theory, not in practice.' But while the engine still runs, it's no longer him behind the wheel. 'That's Rohan's job now,' he says. Rohan Mehta, his only son, is now Managing Director. Soft-spoken but sharp, Rohan brings a different temperament to the business – analytical, digital-first, globally attuned. Alongside CEO Venu Nayar, a 35-year veteran who has been with Mehta since age 22, the trio forms a rare trifecta of legacy, leadership and long-term thinking. 'Rohan brings the youngness,' Mehta says. 'The freshness. The new element.' The transition hasn't been symbolic. It's been gradual, deliberate and deeply embedded. 'You have to know when you become the stumbling block to growth,' Mehta says. 'I survive on gut instinct. But the company needs AI, digital transformation, and global intelligence. And I don't have those skills.' What he does have – what few can replicate – is a legacy of judgement. And a culture he's spent 30 years cultivating. 'The only thing I can do is lend my experience. Build the culture. And step back.' The world has changed Mehta is under no illusion that his journey could be easily replicated today. If anything, he's clear-eyed about just how dramatically the business landscape has evolved – and how much harder it is to break through now. 'If I, by myself, remembering what I did when I came here, I would think that it would be a very steep climb for me to succeed in the landscape of today,' he says. 'The reasons are that you need a very different skill set than we had to counter the uphill task or the uphill competition that the world is suffering from.' That competition isn't theoretical. It's global, immediate, and often overwhelming. 'China is the biggest competition to the world, to everything,' Mehta says. 'Oversupply of products is the biggest detriment to future growth.' As a distributor, Petrochem faces a volatile landscape where pricing, demand, and sourcing can shift overnight. 'The world works with a demand, supply balance. That is, when there is good demand, there is good supply – everyone is happy. When there is over demand and poor supply – the customer is not happy. When there is oversupply, but the world doesn't want it – nobody's happy.' The pace of change is relentless. 'Now the price structure in May might be very different than it was in March, and the customer who's received the cargo in May will say, 'Do you know that this morning, the price collapsed of the product that you're selling me?'' he explains. Even the most fundamental industry structures are changing. 'Disruptive technology is going to be the leader of the future,' he warns. 'Uber. Bike riders. Online platforms. Real-time logistics. These are shaping how the chemical world must operate too.' Technology isn't just affecting how Petrochem does business – it's also reshaping human behaviour. For Mehta, the rise of social media is emblematic of a broader cultural shift that prioritises speed and spectacle over substance. 'Social media is corrupting the world,' he says. 'It's misleading us. One day they tell you milk is good, the next day it's poison. Eggs are healthy, then they're dangerous. It's all confusion – noise without wisdom.' He doesn't just see it as a generational annoyance, but as a structural distraction. 'The blue light before bed, the endless scrolling, the false validation – none of it adds real value. People are spending so much time reacting to the world, they've stopped creating in it.' Beyond markets and machines, Mehta also sees a shift in mindset. 'The Millennials don't like to own. They like to lease. They don't think much about the marriage institution. They don't have that many children. All this affects the GDP of countries.' So what does it take to survive? 'We would need sharper skill sets. We would need a thicker skin, tongue in cheek. We would have to reduce our needs.' For Mehta, that context makes Petrochem's legacy all the more meaningful – and the next generation's challenge all the more complex. The heart of happiness Mehta's story is filled with hard-won wisdom. He doesn't airbrush the past. He speaks candidly of the moments when everything seemed stacked against him – times when he couldn't even afford the hospital bill for his son's birth. 'We had no money, and there was nobody to help,' he recalls. In another moment of brutal honesty, he describes how a heated argument with his sister led to years of silence before a moment of clarity struck him mid-flight to Lyon. 'I begged her forgiveness,' he says. 'She said, 'You're my brother. What are you talking about?'' These experiences didn't just shape him; they freed him. From those moments came humility, from humility came grace, and from grace came peace. Mehta is no longer a man consumed by ambition or the trappings of empire. 'I don't want to be Warren Buffett,' he says. 'Why would I run this company at 80? I'd rather be in Machu Picchu.' He talks about opening a restaurant – not for profit, but for joy. He plays golf, collects vinyls, and immerses himself in jazz. His cellar is curated with the same attention to detail he once gave to logistics spreadsheets. And when the day has been long and unforgiving? 'I ask my cook to make the spiciest egg curry. We open a vintage bottle and let it breathe. That's my therapy.' Much of that peace, he says, comes from the quiet strength of his wife. 'She's my companion. She's my mother, my mother-in-law, my sister, my lover, my mistress, my wife, grandmother… so I have a great company at home,' he says. 'We are best friends.' They've known each other since childhood – she was six, he was seven. That shared history has become the anchor to everything. 'My wife plays Mahjong and does a lot of charity work. She's been with me through it all. We think the same. We bring that part into the company.' It's not a retirement. It's a reinvention – one anchored by love, perspective, and personal peace. And perhaps the truest legacy of all: the freedom to savour life, with the person who's stood beside him through it all. Petrochem's people first philosophy Despite its scale, Petrochem remains proudly family-run. 'It's a mom-and-pop show with a $2 billion balance sheet,' Mehta quips. But behind that humour is a deeply serious ethical code. 'Keep your company happy, safe and secure. That's the whole ethos,' he says. 'You look after the people, and they will look after the numbers.' That ethos radiates from the top and touches every corner of the organisation. The receptionist, whom Mehta describes as the 'window to the world,' receives as much care and attention as the most senior executive. 'A courier or a CEO sees her first. Her mood, her smile – that's our first impression.' Expectant mothers are given daily fresh coconut water, saffron, and almonds. There's a private room for nursing, flexibility around maternity leave, and constant check-ins to ensure new mothers feel supported – not just accommodated. 'We treat it like a nursery,' Mehta says, 'because they're carrying our future.' There are gender parity targets, mental health sessions, and open-door HR policies. Fridays are for ice cream. Departments regularly take team-building trips to Fujairah or Ras Al Khaimah. The finance team does karaoke. Sales go on hiking retreats. 'We even have mock dance sessions,' he laughs. 'Because stress is huge in our line of work. And joy is serious business.' Building what's next Even as he fades from the daily frontlines, Mehta remains Petrochem's chief crusader. The company is investing in a $100 million terminal at Jebel Ali, a sprawling facility designed to triple its current storage capacity and meet the surging demand for just-in-time chemical logistics in the Gulf. Mehta describes it as the physical manifestation of Petrochem's future – strategically located, digitally optimised, and built for scale. Regionally, the firm is doubling down on Egypt, where two terminals – one in Alexandria, the other in Port Said – anchor its North African plans. Jordan and Syria are next. 'We were there before,' he says of Syria. 'And now we're going back. We build capacity quietly, and we let the service speak.' On the horizon is a bold shift: specialty chemical manufacturing. Plans are already underway to commission facilities that cater to high-margin sectors like pharmaceuticals, coatings, and advanced materials. Parallel to this, new offices in Europe and the Americas are expected to open within five years. 'It's all about adjacency,' Mehta explains. 'If you do one thing really well, you look at the next five things your customer needs.' Asked if an IPO is on the horizon, Mehta waves it off with the ease of someone who doesn't need an exit. 'We were offered $900 million six years ago. We said no. Maybe one day, if Rohan decides. Not me.' Because Mehta knows his exit isn't about control. It's about continuity. And the future of Petrochem, he believes, lies not in the headlines – but in the infrastructure being built quietly behind the scenes. In this reinvention chapter of his life, Mehta is clear: he doesn't want to be pigeonholed. 'I'm not a one-trick pony,' he says. 'I love this job, and I'm very good at it. But I also love jazz, food, travel, literature. Why would I only live one version of myself?' The final word When asked how he hopes to be remembered, Yogesh Mehta doesn't talk about market share or valuation. 'I wish to be known as a good guy,' he says. 'Not a tycoon. Just someone who brought good cheer. Who lived fully. Who left behind happiness.' There are few business leaders who could say that – and mean it. But then again, Yogesh Mehta was never the usual.
Zawya
a day ago
- Business
- Zawya
Egypt: EFIC sees 6% YoY higher consolidated profits in Q1 2025
Arab Finance: The Egyptian Financial and Industrial Company's (EFIC) consolidated profits after tax increased by 6% to EGP 456.114 million in the first quarter (Q1) of 2025, according to the financial results. The earnings were compared with the EGP 428.496 million profits registered in Q1 2024. Revenues hiked by 57% year-on-year (YoY) to EGP 2.813 billion in the first three months of 2025 from EGP 1.790 billion. EFIC focuses on the production and distribution of chemical resources and agricultural fertilizers, as well as the ownership of the means of road and river transportation. © 2020-2023 Arab Finance For Information Technology. All Rights Reserved. Provided by SyndiGate Media Inc. (
Al Bawaba
6 days ago
- Business
- Al Bawaba
To build resilience, leaders must leverage digitalization, commit to sustainable practices, say speakers at 16th GPCA Supply Chain Conference
To build resilient chemical supply chains, chemical and petrochemical industry leaders must embrace innovation, leverage digitalization, and commit to sustainable practices, agreed speakers at the 16th Gulf Petrochemicals and Chemicals Association (GPCA) Supply Chain Conference, which took place at the Address Sky View Hotel, Dubai, UAE on 27-28 May under the theme 'Building Resilience in a Dynamic Landscape'. By fostering collaboration across sectors, investing in local human capital and building local capabilities, the chemical industry in the GCC can navigate uncertainty, mitigate risks, and drive lasting progress in global supply chain management, speakers Sultan Al-Kuwari, CEO, Q-Chem, and Chairman, Supply Chain Committee, GPCA, opened the event with a welcome address, emphasizing the need for resilience amid global disruptions. He stated, 'For the chemical industry, resilience is the defining strategy for survival and success. Resilience is not just about risk mitigation; it is about seizing opportunities in the face of uncertainty. It is about transforming disruptions into competitive advantages through bold leadership, innovation, and collaboration.'In his keynote address on Day 1, Dr. Robert de Souza, Executive Director, The Logistics Institute-Asia Pacific, National University of Singapore, discussed the importance of future-proofing supply chains and building resilience amid complexity and change. In a dynamic leadership dialogue moderated by Arun Bruce, Co-Founder and CEO, Transformation X, and co-presented by Dr. Sana Ben Kebaier, Head of Economic Research Department, GPCA, a panel of senior executives comprising Fikret Ersoy, Global Chief Commercial Officer, PSA BDP; Lisa Park, Area MD - UAE, Oman and Qatar, Maersk; and Saleh Al Shabnan, Chairman of the Board, Saudi Supply Chain & Procurement Society, examined the five key 'known unknowns' expected to impact the chemical industry in conference included a highly anticipated strategic panel on 'The Leadership Edge: Turning Supply Chain Challenges into Strategic Opportunities', moderated by Sachin Halbe, Partner, Strategic Operations, Kearney MEA, AT Kearney, and featuring Bassel El Dabbagh, CEO, CEVA Almajdouie Logistics; Ahmed Abdullah Al-Salahi, CCO, Q-Chem; and Bjarke Degn Nissen, CCO, Stolt conference continued with a panel on 'Leveraging AI and Technology to Build Robust, High-Growth Supply Chains' focusing on how advanced technologies can be efficiently integrated into existing supply chain networks. Subsequently, the focus shifted towards supply chain strategy, with a strategic panel on 'Globalization vs. Localization' exploring the key factors and trade-offs to achieve the right balance for a more agile supply chain, guiding decision-making for the GCC chemical Abdulwahab Al-Sadoun, Secretary General, GPCA, commented: 'As supply chains evolve amid global uncertainties, the 16th GPCA Supply Chain Conference reinforced the importance of adaptability, fostering human capital, and technology-driven transformation as key pillars for future success. Over the past two days, industry leaders addressed emerging challenges and opportunities shaping supply chain transformation in the region, providing delegates with an invaluable opportunity to recharge their strategy and gain insight into crucial industry trends.' On 27 May GPCA hosted the 6th Supply Chain Excellence Awards, recognizing outstanding achievements within the industry across four key categories.
Yahoo
27-05-2025
- Business
- Yahoo
Gujarat Narmada Valley Fertilizers & Chemicals Ltd (BOM:500670) Q4 2025 Earnings Call ...
Release Date: May 26, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. The board of directors has recommended a dividend of 180%, an increase from the previous 165%. The company has a significant capital expenditure plan of around 2,900 crore at various stages of execution, aimed at improving efficiency and cost savings. Sales volume growth was reported across several products, with notable increases in TGUa (52%), Aniline (15%), and Formic Acid (6.7%). The chemical segment showed strong performance, contributing positively to the company's profitability. The company is working on strategic initiatives to optimize procurement and power costs, which could lead to future cost savings. The company experienced an elongated shutdown of the TDI 2 plant, resulting in a loss of approximately 300 crore in revenue and 100 crore in profits. There was a net loss of roughly 100 crore in other comprehensive income due to a decline in the prices of listed investments. The TDI production was down by 44% due to the extended shutdown, impacting overall production volumes. Input cost advantages from reduced petrochemical prices were offset by pricing pressures on TDI output. The company anticipates limited volume growth in FY 526 due to a planned three-week shutdown at the beginning of the financial year. Warning! GuruFocus has detected 5 Warning Signs with BOM:500670. Q: What was the sales volume growth for Gujarat Narmada Valley Fertilizers & Chemicals Ltd in FY 2025, and which products contributed to this growth? A: The sales volume was 7% higher than FY 2024. Specific product contributions included a 9% increase in sales, a 15% increase in aniline sales, a 52% increase in TGU sales, a 15% increase in CNS sales, and a 6.7% increase in formic acid sales. Methanol sales also increased by 7%. Q: Are there any planned shutdowns for FY 2026, and which products are expected to see volume growth? A: A shutdown occurred at the beginning of the current financial year for about three weeks, limiting volume growth potential. No further shutdowns are planned for the rest of FY 2026. Q: How did the extended shutdown of the TDI plant affect production and what are the expectations for FY 2026? A: The production was down by 31% due to the shutdown, with TDI volumes specifically down by 44%. For FY 2026, the company does not foresee major issues and expects to achieve installed capacity production. Q: What is the impact of the reduction in toluene prices on the company's financials? A: While there has been a reduction in toluene prices, the benefit is offset by pricing pressure on TDI, which affects the input cost advantage. Q: What are the expected benefits from the commissioning of the new boiler in FY 2026? A: The commissioning is expected by September 2025, with an anticipated cost advantage ranging between ?12,000 to ?18,000 per metric ton, depending on gas and coal prices. This could help reduce losses at the PBT level for TDI. Q: Can you provide insights into the strategic initiatives for cost reduction and efficiency improvement? A: Initiatives include procurement optimization, power optimization through increased renewable energy use, and digital initiatives. These are expected to have varying timelines for impact, ranging from 6 months to 4 years. Q: What are the production numbers for ammonia and weak nitric acid for FY 2026? A: Ammonia production from oil was 336,000 tons and from gas was 369,000 tons. Weak nitric acid production was approximately 443,000 tons. Q: What is the status of the expansion plans recommended by Kearney, and what is the investment size? A: The company is considering an investment size of up to ?22,000 crore for new projects, which are mostly import substitutes. Detailed feasibility reports are being prepared to assess the return profile of each product. Q: How does the company plan to manage maintenance CapEx and what is the expected CapEx for FY 2026? A: Maintenance CapEx is expected to be more than ?200 crore annually. The total CapEx for FY 2026 includes ?300 crore for ongoing projects, excluding maintenance CapEx. Q: What is the outlook for methanol production given the current economic conditions? A: Methanol production was profitable for 7-8 months due to competitive gas prices. However, with rising gas prices since December, the plant is currently not in operation. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
24-05-2025
- Business
- Yahoo
LyondellBasell Industries N.V. (LYB) Raises Dividend by 2.2%
On May 23, LyondellBasell Industries N.V. (NYSE:LYB) declared a 2.2% hike in its quarterly dividend to $1.37 per share. LyondellBasell Industries N.V. (NYSE:LYB) is a global chemical producer headquartered in the Netherlands. The company focuses on plastics, chemicals, and refining. It recently increased its dividend for the 15th year in a row, continuing its consistent track record of annual dividend growth. CEO Peter Vanacker made the following comment on the recent dividend hike: 'LYB continues to reward shareholders with a strong and growing dividend in 2025, which will mark 15 consecutive years of dividend increases. The growth of our dividend reaffirms confidence in our disciplined capital deployment, our value-driven strategy and our capability to navigate the cycle during these challenging times.' LyondellBasell Industries N.V. (NYSE:LYB) has remained committed to its shareholder return over the years. In the most recent quarter, the company returned $543 million to investors through dividends and share repurchases. In addition to a strong dividend growth streak, LYB offers an attractive dividend yield of 9.55%, as recorded on May 23. The stock will trade ex-dividend on June 9. While we acknowledge the potential of LYB as an investment, our conviction lies in the belief that some deeply undervalued dividend stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for a deeply undervalued dividend stock that is more promising than LYB but that trades at 10 times its earnings and grows its earnings at double digit rates annually, check out our report about the . READ MORE: and Disclosure. None.
