PETALING JAYA: Petronas Chemical substances Group Bhd’s (PetChem) web revenue for the second quarter ended June 30 (Q2 FY2023) plunged 66% to RM628 million from RM1.87 billion a yr in the past on the again of decrease earnings earlier than curiosity, tax, depreciation and amortisation (ebitda) and share of revenue from joint ventures and associates.
Quarterly income climbed to RM7.11 billion, surpassing final yr’s RM6.58 billion on increased gross sales volumes and incorporation of earnings from a not too long ago acquired subsidiary, it mentioned in a submitting with Bursa Malaysia as we speak.
Earnings per share dipped to eight sen per share from 23 sen beforehand. The group declared an preliminary interim dividend of eight sen per share to be paid on Sept 21.
For the six months ended June 30, web revenue plummeted 70.63% to RM1.16 billion from RM3.95 billion within the earlier yr regardless of increased income of RM14.67 billion from RM13.22 billion.
Shaping PetChem’s prospects
Shifting ahead, the group acknowledged its operational outcomes will likely be primarily influenced by world financial situations and pricing of petrochemical merchandise, with a powerful correlation to crude oil costs, significantly impacting the olefins and derivatives section.
Moreover, the utilisation fee of manufacturing services and shifts in overseas trade charges can even play a major position in shaping the outcomes.
“The utilisation of our manufacturing services depends on plant upkeep actions and enough availability of feedstock in addition to utilities provide.
“The group will proceed with its operational excellence programme and provider relationship administration to maintain plant utilisation stage at above business benchmark,” it mentioned.
It added that fertiliser and methanol product costs are forecast to stabilise amid brief provide within the area.
“For specialties, the group expects weaker gross sales and earnings growth transferring ahead, in view of slower industrial progress impacting demand,” it mentioned.
PetChem’s shares closed 1.6% or 11 sen increased at RM 7.01, valuing the group at RM56.08 billion.