PETRONAS Dagangan (PETDAG) Q1 2026 earnings summary

Executive summary

• Q1 2026 saw resilient financial results with revenue up 23% year-over-year to RM11,150.6 million, supported by strong domestic demand, higher average selling prices, and increased sales volume.

• Profit before tax declined 5% year-over-year to RM389.2 million, mainly due to higher expenditure and lower gross profit in the Commercial segment.

• Malaysia's GDP grew 5.4% year-over-year, with inflation at 1.6% and robust tourism and vehicle registration trends.

• Retail segment saw strong growth in both revenue and PBT, while Commercial segment profit dropped sharply.

• Group assets and liabilities increased significantly compared to year-end 2025, reflecting higher receivables and payables.

Financial highlights

• Revenue rose 23% year-over-year to RM11,150.6 million, and 5% sequentially from Q4 2025.

• Gross profit increased 5% year-over-year to RM1,114.6 million but declined 2% sequentially.

• Profit after tax was RM291.4 million, down 3% year-over-year but up 7% from the previous quarter.

• Basic EPS was 28.5 sen, down from 29.5 sen in Q1 2025.

• Net cash from operating activities was RM952.8 million, down 54% year-over-year.

• Cash and cash equivalents stood at RM5,967.3 million, up 3% from December 2025.

• Total assets increased 16% to RM12,875.9 million compared to December 2025.

Outlook and guidance

• Oil prices expected to remain volatile, with Brent crude projected at USD106/bbl in May and June 2026 due to supply tightness.

• 2026 GDP growth forecast at 4.0%-5.0%, with inflation averaging 1.5%-2.5%, subject to geopolitical risks.

• Cost and margin pressures anticipated from elevated global commodity prices and ongoing geopolitical tensions.

• Focus remains on resilience, integrated supply, low-carbon mobility investments, operational efficiency, customer engagement, and disciplined cost management.