PCG Records RM427 Million Net Profit in First Quarter

Petronas Chemicals Group Berhad (PCG) has announced a robust financial performance for the first quarter of its 2026 financial year, posting a net profit after tax (PAT) of RM427 million. This figure represents a substantial turnaround from the RM730 million net loss after tax (LAT) recorded in the preceding fourth quarter of 2025. The company attributes this significant improvement primarily to enhanced operational performance, a reduction in unrealized foreign exchange losses, and gains realized from the disposal of investments.

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Our integrated model ensures a stable and domestically sourced supply of feedstock for our gas-based operations in Malaysia through an extensive pipeline network, thereby helping to reduce the impact of disruptions in global supply.

Mazuin Ismail, PCG's Managing Director and Chief Executive Officer, highlighted the dynamic operational landscape shaped by the conflict in West Asia. He noted that this geopolitical situation has created a more volatile and complex environment, underscoring the vulnerability of industrial supply chains, particularly given the region's strategic importance in global feedstock and chemical supplies. However, PCG's integrated model, which ensures stable and domestically sourced feedstock for its gas-based operations in Malaysia via an extensive pipeline network, has been instrumental in mitigating the impact of global supply disruptions.

The company's Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) saw an increase to RM1.2 billion in the quarter. This growth reflects the underlying strength and resilience of PCG's business model, bolstered by a continuous emphasis on operational and commercial excellence, alongside disciplined cost management. The Special Chemicals segment also contributed significantly, driven by higher sales volumes and the sale of emission rights by Perstorp, further strengthening the group's financial standing.

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The increase in EBITDA also reflects the underlying strength and resilience of our business model, supported by a continuous emphasis on operational and commercial excellence and disciplined cost management.

From the perspective of Utusan Malaysia, this financial recovery is a testament to PCG's strategic management and operational resilience in navigating a challenging global economic climate. While international reports might focus on the broader market trends, we emphasize the specific factors contributing to PCG's success, such as its integrated operations and disciplined cost control. The company's ability to maintain stable feedstock supply and adapt to market demands, even amidst geopolitical uncertainties, showcases its strength as a key player in Malaysia's petrochemical industry. This positive financial result not only benefits the company but also reflects positively on Malaysia's industrial sector.

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Our commitment to operational safety and reliability remains unwavering, especially as we undertake scheduled turnaround activities at several Olefin & Derivative (O&D) segment plants in Kertih and a fertilizer plant in Bintulu in the second quarter.