PETALING JAYA: Lotte Chemical Titan Holding Bhd
expects the global business environment to remain volatile in the near future, due to the Russia-Ukraine war and unrest in the Middle East and US reciprocal tariffs.
For the third quarter ended Sept 30, 2025 (3Q25), the group’s net loss narrowed to RM197.86mil from a net loss of RM1.69bil in 3Q24.
This translates to a loss per share of 7.41 sen in 3Q25 from 10.82 sen in 3Q24.
Revenue was up by 26% year-on-year (y-o-y) to RM2.45bil, mainly supported by higher sales volume.
The increase in sales volume was contributed by the Lotte Chemical Indonesia New Ethylene (LINE) project, which was in the commissioning phase during the period.
The lower losses was primarily due to reduced share of losses from associate company – Lotte Chemical USA Corp, lower depreciation expenses from the Malaysian operations.
For the nine months ended Sept 30, 2025 (9M25), the group’s net loss narrowed to RM970.37mil from a net loss of RM1.82bil in 9M24.
The company said the lower losses was primarily due to reduced share of losses from associate company-Lotte Chemical USA Corp, and margin improvement from polymer segment.
Revenue for 9M25 was down by 5% y-o-y to RM5.37bil mainly due to lower sales volume and average product selling price from the Malaysian operations.
This impact was partially offset by sales contribution from the LINE project.
Lotte Chemical Titan’s average plant utilisation stood at 50% in 3Q25, compared with 58% in the same period last year.
The utilisation rate does not include the LINE project, as it is not yet in commercial operation.
In a filing with Bursa Malaysia, the group said the results of its operations are expected to be primarily influenced by factors like fluctuations in feedstock and naphtha prices, which are closely linked to changes in crude oil, the supply and demand balance for petrochemical products, operational efficiency and overall economic conditions, and global and regional economic changes, which is driven by consumption behaviors and population growth.
The group also cautioned that regionally, product oversupply and downstream demand are expected to persist, keeping average selling prices and margins under pressure.
Despite the various headwinds, Lotte Chemical Titan said it remains committed to its markets in Malaysia, Indonesia, and the South-East Asia region.
Barring any unforeseen circumstances, the group said the operating rate for the financial year 2025 is projected to be between 45% and 50%.
