Petronas Chemicals Q3 net profit up 4%

PETALING JAYA: Petronas Chemicals Group Bhd (PCG) saw third quarter net profit jump 4% on higher sales volume of high margin ethane-based products.
The group made a net profit of RM661 million for the quarter ended Sept 30, 2014, compared with RM635 million in the same quarter last year.
The higher profit came on higher revenue of RM3.55 billion, compared with RM3.53 billion for the same period in 2013.
A major driving factor for the increase in the sales volume was the higher plant utilisation rate for its olefins and derivatives (O&D) segment during the quarter, following completion of the planned heavy turnaround activities in the second quarter of 2014. This was further supported by the generally improving O&D market prices relative to the second quarter.
"Although the global economic environment and petrochemical market conditions remain highly challenging, PCG continues to be resilient in posting healthy earnings before interest tax depreciation and amortisation (ebitda) margin.
"We are committed to achieve our target plant utilisation rates in tandem with the anticipated market up-cycle in 2016," its president and CEO Sazali Hamzah said in a statement yesterday.
Net profit for the nine-month period stood at RM1.97 billion, compared with RM2.7 billion the year before. This was on almost 10% lower revenue of RM10.7 billion, compared with RM11.85 billion for the same period the year before.