Petronas Chemicals Records RM2.14 Billion Net Loss for FY2025

Published By DPRJ Universal | Published on Monday, 23 February 2026

Petronas Chemicals Group Bhd posted a net loss of RM2.14 billion in FY2025, reversing a prior-year profit of RM1.17 billion. This was mainly due to lower EBITDA, reduced finance income, and higher unrealized foreign exchange losses, exacerbated by challenging market conditions like overcapacity and subdued global demand. Revenue also declined by 10% to RM27.48 billion. Despite the loss, the company declared a total FY2025 dividend of RM560 million and plans to enhance portfolio resilience.

Petronas Chemicals Group Bhd (PCG) reported a significant net loss of RM2.14 billion for the financial year ended December 31, 2025, a stark contrast to the RM1.17 billion net profit from the previous year. This downturn was primarily driven by a 46% decrease in earnings before interest, taxes, depreciation, and amortisation (EBITDA) to RM1.89 billion, alongside lower finance income and increased unrealized foreign exchange losses. Weak product spreads, a strengthening Malaysian Ringgit, and lower product prices also contributed to a 10% revenue decline, bringing the total to RM27.48 billion for FY2025. For the fourth quarter of FY2025, PCG recorded a net loss of RM754.0 million, with EBITDA falling 84% to RM115 million and revenue dropping 12% to RM6.60 billion. The chemicals sector faced a challenging year in 2025, characterized by persistent overcapacity, subdued global demand, and intense competitive pressures across Asia-Pacific. Despite these market conditions and operational disruptions, PCG maintained an 88% plant utilization rate. The fertiliser and methanol segments demonstrated resilience with strong performance, while olefins and derivatives, and specialty chemicals segments experienced softer results due to weak demand and pricing pressures. Petronas Chemicals managing director/chief executive officer Mazuin Ismail noted complex challenges and a decision to defer major turnaround activities to 2026. Looking ahead, PCG anticipates continued pressure on the olefins and derivatives market but expects robust demand for fertilisers and tight methanol supply, aiming to enhance portfolio resilience through asset optimisation and operational efficiency.