Thursday 28 Mar 2024
By
main news image

This article first appeared in The Edge Financial Daily on November 10, 2017

KUALA LUMPUR: Petronas Chemicals Group Bhd’s (PetChem) net profit grew 2.5% year-on-year (y-o-y) in the third quarter ended Sept 30, 2017 (3QFY17) to RM913 million from RM891 million, thanks to higher production and sales volume achieved on the commissioning of its Sabah Ammonia Urea (Samur) plant in May. “However, earnings before interest, taxes, depreciation and ammortisation marginally declined by RM26 million or 2% to RM1.4 billion, mainly due to higher operating expenditure relating to activities undertaken during the statutory turnarounds,” according to its Bursa Malaysia filing.

Quarterly revenue rose 12.6% y-o-y to RM4.01 billion from RM3.56 billion, in tandem with higher sales volume, supported by a strengthening US dollar during the quarter, despite lower plant utilisations. For the first nine months of FY17, PetChem’s net profit jumped 63.1% y-o-y to RM12.67 billion from RM9.91 billion, on stronger performance in its core segments of olefins and derivatives, as well as fertilisers and methanol. Cumulative revenue grew 27.8% y-o-y to RM12.67 billion from RM9.91 billion.

On prospects, it said its results are expected to be primarily influenced by global economic conditions, utilisation rate of its production facilities, and prices of petrochemical products with a high correlation to crude oil prices, particularly the olefins and derivatives segment.
 

      Print
      Text Size
      Share