PETRONAS Chemicals Group Berhad (PCG) announced its financial results for the first quarter (1Q 2025) in the financial year ending 31 December 2025, against the backdrop of an increasingly challenging chemicals market.

The Group sustained its operational performance with plant utilisation rate of 94% in 1Q 2025, comparable against 4Q 2024. Revenue grew 3% quarter-on-quarter to RM7.7 billion driven by higher average prices of urea, methanol, and polyethylene as well as improved sales performance in the specialties segment.

Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) rose 26% to RM892 million, supported by better spreads for urea, methanol, methyl tert-butyl ether (MTBE) and olefin derivatives, coupled with reduced operational costs. However, Profit After Tax (PAT) declined to RM18 million from RM539 million in the previous quarter, largely due to unfavourable foreign exchange movement.

Commenting on the 1Q 2025 performance, Mazuin Ismail, Managing Director/Chief Executive Officer of PCG, said “Our resilience in navigating the challenging market landscape underscores the strength of our diversified portfolio. The improvement in EBITDA reflects our ongoing efforts on operational excellence with commendable plant utilisation rate achieved by our commodities business, despite setbacks in January 2025 that temporarily impacted operations at several plants in Kertih.” 

On implications of US tariffs to PCG, Mazuin said, “We are closely monitoring these developments and assessing broader implications on the overall market dynamics.”

“To maintain our resilience and competitiveness amid the current industry downturn, we remain focused on driving excellence. Our unwavering commitment to safe and efficient operations across all facilities continues as we are currently undertaking repair and maintenance activities at several O&D and F&M plants. At the same time, we are strengthening customer relationships to better meet their evolving needs, while upholding strict financial discipline and prudent capital spending.” he concluded.