PETRONAS Chemicals Group Berhad (PCHEM) Q4 2025 earnings summary

Executive summary

• FY2025 earnings declined, resulting in a net loss of RM2,050 million, mainly due to lower product prices, forex losses, and significant asset impairments, especially in Specialties and a joint operation entity.

• Revenue dropped 10% year-over-year to RM27,480 million, reflecting weaker market conditions and lower sales volumes.

• Plant utilisation fell to 88.2% from 90.7% due to planned shutdowns and supply disruptions.

• Sales volume increased, supported by strategic sourcing, despite lower production.

• Dividends paid totaled RM480 million for 2025, with an additional RM320 million declared post-year-end.

Financial highlights

• Revenue fell to RM27,480 million from RM30,671 million year-over-year.

• EBITDA dropped to RM1,899 million (margin 6.9%) from RM3,534 million (margin 11.5%).

• Net loss of RM2,050 million, compared to a profit of RM1,289 million in FY2024.

• Gross profit margin declined to 10.7% from 15.3% year-over-year.

• Operating cash flow was RM3,147 million, down from RM4,626 million in 2024.

Outlook and guidance

• Management expects continued market volatility and margin pressure due to global supply-demand imbalances and fluctuating feedstock prices.

• O&D segment faces subdued demand and oversupply, limiting price upside.

• F&M segment supported by strong urea demand, but ammonia and methanol remain cautious.

• Specialties market continues to face margin pressures amid weak demand.

• Ongoing focus on operational efficiency, cost control, and prudent capital allocation.