- Petronas Chemicals Group’s (Petronas Chemicals) 4Q16 net profit jumped 40.2 percent to RM987 million with a 14.5 percent increase in revenue to RM4 billion, due to continued efforts on improving plant reliability and collaborations to secure higher feedstock supply.
- The group recorded a higher plant utilization of 96 percent, which allows it to increase sales volume and mitigate the impact of lower petrochemical product spreads.
- Full-year net profit climbed 5.4 percent to 2.3 billion on a marginal increase in revenue to RM13.9 billion.
- The group declared a second interim dividend of RM0.12 per ordinary share, on top of the RM0.07 dividend paid in September 2016.
Significance: Going forward, Petronas Chemicals’ prospects are dependent on global economic conditions, utilisation rate of production facilities as well as petrochemical product prices which have a high correlation to crude oil prices. The group will continue with its operational excellence programme and supplier relationship management to sustain plant utilisation level at above industry benchmark.