Kuala Lumpur, 23 April 2026 – PETRONAS Chemicals Group Berhad demonstrated strong operational discipline and resilience as it navigated a challenging global chemicals market, reporting a RM574 million improvement in EBITDA for the financial year ended 31 December 2025.
The performance was presented at the Group’s 28th Annual General Meeting, where management highlighted its ability to sustain profitability and operational efficiency despite ongoing pressures from global oversupply, weak demand and geopolitical uncertainty.
Operational Discipline Drives Performance
Amid a difficult market environment, PCG maintained a plant utilisation rate of 88%, supported by strong asset integrity and optimised plant management across its operations.
The Group’s EBITDA improvement was achieved through a combination of feedstock optimisation, improved plant reliability and enhanced turnaround efficiency. Strategic sourcing and active market optimisation further strengthened supply flexibility, while structural cost reductions were delivered through contract management, logistics efficiency and waste circularity initiatives.
This reflects a disciplined execution strategy that prioritises operational excellence and cost control in a volatile industry cycle.
Dividend Reflects Balanced Capital Strategy
In line with its performance, the Board declared a total dividend of RM560 million for FY2025.
The payout underscores PCG’s commitment to delivering shareholder returns while maintaining financial flexibility to support future growth and navigate market uncertainties.
Navigating 2026 with Cautious Optimism
Looking ahead, PCG expects continued volatility in 2026, driven by uneven demand recovery and geopolitical developments in West Asia, which are impacting feedstock prices and supply chain stability.
The Group is focusing on reinforcing discipline across safety, operations and capital allocation, while pursuing selective growth opportunities. These include optimisation of its core business, expansion into specialty chemicals and targeted investments aligned with evolving customer needs.
Managing Director and Chief Executive Officer Mazuin Ismail emphasised that the company will prioritise resilience and long-term value creation, ensuring stability in operations while building a stronger foundation for future growth.
Domestic Market Focus Strengthens Supply Stability
PCG reaffirmed its commitment to prioritising domestic demand over exports, ensuring consistent availability of high-quality chemical products in Malaysia.
This approach supports local industries while reinforcing the Group’s role as a reliable supplier within the national economic ecosystem.
Leadership and Governance
The AGM was chaired by Sazali Hamzah, with participation from senior leadership including Chief Financial Officer Mohd Azli Ishak.
Management presented the Group’s performance, strategic priorities and outlook, highlighting its commitment to disciplined growth and operational resilience.
The Ledger Asia Insights
PCG’s performance reflects a broader theme in the global chemicals sector, resilience is being driven by operational discipline rather than favourable market conditions.
For Asian investors, three key implications emerge:
1. Operational Efficiency as Key Profit Driver
In a weak pricing environment, cost optimisation and reliability are critical to sustaining earnings.
2. Balanced Capital Allocation Remains Crucial
Maintaining dividends while preserving financial flexibility signals prudent financial management.
3. Shift Toward Specialty and Value-Added Segments
Expansion into specialty chemicals indicates a strategic move to reduce exposure to cyclical commodity markets.
PCG’s approach highlights how leading industrial players are adapting to a more complex environment, where disciplined execution and strategic positioning are essential to navigating volatility and delivering sustainable growth.
