Mesaieed Petrochemical Holding Company (MPHC) investor relations material

Executive summary

• Reported a net loss of QR 183 million for the first half of 2026, reversing a profit in H1 2025, as regional conflict and logistical disruptions led to sharp declines in production and sales volumes across both Petrochemical and Chlor-alkali segments.

• The report covers the six-month period ended 30 June 2026, reviewed by independent auditors with no material misstatements found.

• The company operates as a holding entity for petrochemical joint ventures in Qatar, with significant stakes in Q-Chem, Q-Chem II, and QVC.

• Despite operational challenges, liquidity remained strong, supported by robust cash balances.

Financial highlights

• Revenue for H1 2026 fell 57% year-over-year to QR 605 million, with EBITDA dropping 93% to QR 41 million and EBITDA margin contracting to 7% from 43%.

• Net loss of QR 183 million for H1 2026, compared to a net profit of QR 379 million in H1 2025; basic and diluted loss per share was QR 0.015.

• Cash and bank balances stood at QR 3.2 billion as of 30 June 2026, down 8% from year-end 2025, mainly due to dividend distribution and PVC project investment.

• Dividends paid during the period totaled QR 202.9 million.

• Investments in joint ventures declined to QR 13.45 billion from QR 13.63 billion at year-end 2025.

Segment performance

• Petrochemicals: Net loss of QR 138 million for H1 2026, with revenue down 60% and production down 57% year-over-year; Q2 2026 saw further declines in sales volumes and profitability despite higher average selling prices.

• Chlor-alkali: Net loss of QR 85 million for H1 2026, with revenue down 48% and production down 48% year-over-year; higher average selling prices partially offset lower volumes.

• On a quarterly basis, Petrochemical segment swung from a $12 million profit to a $150 million loss, driven by an 86% drop in sales volume.

• Chlor-alkali segment's quarterly loss increased to $52 million from $33 million, as a 65% drop in sales volume outweighed a 76% rise in average selling prices.

• The company has a single reportable segment: petrochemicals, derived from joint ventures producing polyethylene, 1-hexene, caustic soda, and related products.