PetChem Q3 net profit at RM891mil

PETALING JAYA: Petronas Chemicals Group Bhd’s (PCG) net profit for the third quarter of financial year 2016 (3Q16) has dipped by 2.7% to RM891mil, compared to the third quarter performance of the previous financial year.

Via a filing to the Malaysian bourse, the leading integrated chemicals producer in Malaysia clarified on Wednesday that lower product prices catalysed the slight drop in its net profit.

PCG’s revenue for the latest quarter also saw a marginal decline of 2% to RM3.56bil, as lower product prices negated the impact of higher volumes. However, when compared to the preceding quarter, PCG’s revenue for the quarter increased significantly by 11% due to favourable foreign exchange impact and higher volumes.

The earnings per share for 3Q16 is 11 sen, similar to the figure registered in 3Q15.

The company has not declared dividend for the third quarter. However, to recap, PCG paid a first interim single tier dividend of 7 sen per ordinary share amounting to RM560 million in respect of FY16 to shareholders on 7th September 2016.

PCG also announced that the company has seen a plant utilisation rate of 100% for 3Q16, which a significant improvement from 88% achieved in the same quarter of 2015.

“In addition, PCG recorded its highest overall sales performance through continuous efforts to reduce cost-to-serve and its implementation of various commercial excellence initiatives,” the company noted in its quarterly report.