PETRONAS Gas Berhad (6033) Q2 2025 earnings summary

Executive summary

• Addressed the Putra Heights fire incident with swift operational response, gas supply restoration by July 1, 2025, and permanent repairs expected by Q3 2026.

• Maintained healthy operational and financial performance in 1H 2025, with sustainable dividends and strong execution despite high costs.

• Advanced strategic growth initiatives, including final investment decisions on a fiber optic infrastructure project and a 120MW power plant in Labuan.

• Revenue for 1H 2025 was RM3,184.9 million, down 2.5% YoY, mainly due to lower Utilities and Gas Transportation revenue.

• Gross profit declined by 4.4% YoY, impacted by tighter margins and restoration costs from the Putra Heights incident.

Financial highlights

• Revenue: RM3,184.9 million (-2.5% YoY); Gross profit: RM1,144.9 million (-4.4% YoY).

• Profit for the period: RM971.6 million (+0.9% YoY); EBITDA: RM1,694.4 million (-0.7% YoY); EPS: 46.44 sen (-0.7% YoY).

• Second interim dividend of 16 sen per share (RM316.6 million) approved for FY2025.

• Total assets at RM18.86 billion as of 30 June 2025; cash and cash equivalents at RM2,527 million.

• Net cash from operations: RM1,488.3 million (+6.7% YoY); net cash used in investing: RM797.8 million (+100% YoY).

Outlook and guidance

• Focus on market opportunities aligned with growth strategy, infrastructure expansion, and energy transition, including CCUS and battery energy storage.

• Cautious approach to new projects due to risks from expanded SST, new electricity tariff structure, and geopolitical tensions.

• RMK13 and NETR initiatives expected to drive energy transition and create new growth prospects.