PETRONAS Chemicals Group Bhd. · MYX:PCHEM

PETRONAS Chemicals Group Bhd — Q4 2018 Earnings Presentation

24 slides from PETRONAS Chemicals Group Bhd's earnings presentation, Feb 25, 2019

  1. Slide 1: Quarterly Analyst Briefing for the Quarter Ended 31 December 2018

    ‘SHAREHOLDER VALUE t ~ © Doce . cee r : PETRONAS PRODUCT SOCIETAL STEWARDSHIP NEEDS PETRONAS CHEMICALS GROUP BERHAD Quarterly Analyst Briefing for the Quarter Ended 31 December 2018 25th February 2019 6.00pm HEALTH & SAFETY BIODIVERSITY ENVIRONMENT

  2. Slide 2: Disclaimer

    )» Disclaimer PETRONAS Warranties and Exclusion of Liability PETRONAS Chemicals Group Berhad ("PCG"), its subsidiaries and related corporations confirm that care has been taken in ensuring the accuracy and correctness of information, statements, text, articles, data, images and other materials conta

  3. Slide 3: Key Highlights, Financial, Manufacturing, Commercial, Moving Forward

    Key Highlights Financial Highlights Manufacturing Highlights Commercial Outlook Moving Forward 00000 © PETRONAS

  4. Slide 4: Key Highlights

    © PETRONAS Key Highlights

  5. Slide 5: Petrochemicals Market Spreads

    PETRONAS Petrochemicals Market Spreads USD/MT 4Q 2017 1Q 2018 2Q 2018 3Q 2018 4Q 2018 USD/bbl 400 90 350 O&D Average Spread* 80 300 250 70 200 60 ” _——_—_-—— OOOO ™™ 50 100 50 F&M Average Spread* 40 0 30 lan Mey Man Aon, May Yn Yay ety Sen Op Moy "1g “bg “Sry “PP hag “Pag “Ig Gg “Prag Sag. rag, Crag

  6. Slide 6: FY 2018 Highlights

    Key Highlights FY 2018 Highlights © PETRONAS = Plant utilisation (PU) at 92 % * 6 statutory TA completed * Highest production at 10.4 kMT = Sales volume increased 4% y-o-y * Steady demand for petrochemical products * Higher average product prices = 15% PAT improvement = Improved EBITDA with; Better

  7. Slide 7: Financial Highlights

    © PETRONAS Financial Highlights

  8. Slide 8: 4Q 2018 Group Financial Results

    Financials 4Q 2018 Group Financial Results PETRONAS Year to date Individual quarter ended 19% YE 2018 4Q 2018 Tt x Volume zg 5018 ne YE 2017 Kmt ! 402017 [I —P2a----- 4Q 2018 ye20is Revenue o>o18 3Q 201 RM Mil YE 2017 4Q 2017 2% ve 2018 i, 10200 Tt Profit J | 24% After Tax 302018 an | YE 2017 1 H RM

  9. Slide 9: Financials: Olefins & Derivatives

    Financials Financials : Olefins & Derivatives PETRONAS Others —— (RM million) 2,969 3.163 3.225 FEM 963 965 1,032 1,828 | 4Q 2018 ; : : Revenue 4Q 2017 3Q 2018 4Q 2018 (RM million) lM Revenue SSE EBITDA 11,362 12,297 4,098 4,048 Others comprise of operations related to investment holding company and

  10. Slide 10: Financials: Fertilisers & Methanol

    Financials : Fertilisers & Methanol : _ PETRONAS Financials (RM million) 1,813 1.686 1,850 774 688 676 4a2018 \ FEM | | Revenue 1,828 i - (RM million) AQ 2017 3Q 2018 4Q 2018 l@l™ Revenue @@ EBITDA 7,369 6,168 2,572 3,021 * Others comprise of operations related to investment YE 2017 YE 2018 holding

  11. Slide 11: Balance Sheet as at December 2018

    Financials Balance Sheet as at 31 December 2018 Total Assets (RM million) 33,262 37,365 358 Others 511 12,329 Cash & cash equivalents 6,674 2,370 Trade & other receivables 2,668 1,698 Trade & Other inventories 252 Investment in joint ventures and associates Property, plant and equipment (PPE) As at

  12. Slide 12: Page 9

    6,667 (1,883) 876 (5) 12,329 6,674 * * Page 9

  13. Slide 13: Manufacturing

    © PETRONAS Manufacturing

  14. Slide 14: Page 10

      100% 25.0 20.0 90%  80% 15.0 10.0 70% 60% 5.0 50% 0.0 Page 10

  15. Slide 15: Page 11

    120% 10.0 110% 9.0 100% 8.0 90% 7.0 80% 6.0 70% 5.0 60% 4.0 50% 3.0 40% 2.0 30% 1.0 20% 0.0 Page 11

  16. Slide 16: Page 12

    120% 10.0 110% 9.0 100% 8.0 90% 7.0 80% 6.0 70% 5.0 60% 4.0 2016 2017 2018 50% 3.0 40% 2.0 643 30% 1.0 646 509 20% 0.0 421 Page 12

  17. Slide 17: Operational Highlights - Projects Updates

    Operational highlights - Projects © Updates PETRONAS PIC -peTcHEM 96.1% completion of mechanical construction On track to commence production in second half ae of 2019 Route to market readiness is at final stage U ! Photo of EOEG Plant Page 13

  18. Slide 18: Commercial

    © PETRONAS Commercial

  19. Slide 19: Market Outlook Q4 2018 and Q1 2019

    Q4 2018 (vs Q3 2018) Ample supply from ME Weak downstream demand following TA Q1 2019 => (Outlook) Short supply for ethylene; balanced by ample polypropylene supply Demand to pick up post Lunar New Year as | Bearish market sentiment Destocking activities towards year-end S Limited demand due to CNY

  20. Slide 20: Market Outlook Q4 2018 and Q1 2019

    Q4 2018 (vs Q3 2018) ist Indian Tender issued & exclusion Iranian cargoes Tight supply in ME, SEA and China Q1 2019 (Outlook) Unissued volume of Indian Tender New capacity Limited supply Stable demand from industrial application Demand remain stable Surplus supply PETRONAS Q4 2018 (vs Q3 2018) Ample

  21. Slide 21: Moving Forward

    © PETRONAS Moving Forward

  22. Slide 22: Stabilising Geopolitical

    ar “™ Stabilising 6 25 Geopolitical crude oil prices uncertainty Demand remains strong Continued on protectionism PETRONAS

  23. Slide 23: Question & Answer

    © PETRONAS S Question & Answer

  24. Slide 24: Thank You

    Of PETRONAS >» THANK YOU For further enquiries please contact us at: PETRONAS Chemicals Group Berhad Level 10, Tower 3, Kuala Lumpur City Centre, 50088 Kuala Lumpur, MALAYSIA petronaschemicals_ir@petronas.com www.petronaschemicals.com

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