Sslee

Correction typo error.
Urea is now falling from USD1,000+ in April 2022 to USD 310 now.

Hope Philip will fully use his margin finance to buy more Pchem on the cheap.

2 months ago

Income

Unprofit gestures.

2 months ago

Sslee

My fault typo error.
Correction.
Quarter end 31th Dec 2022 the NP margin is 5.56%, the 1.23 % is ROE.
For the next two quarters the NP margin% will/should be lower if urea, polymers and olefins price do not improve.

As of Philip claims below, it is most likely his misjudgement/misinformed/misunderstood at best or at worst a misinformation on purpose for vested interest.
What do you think? Am I right to say so?

Philip ( buy what you understand)'s Portfolio: PHILIP FARMS TRACKED PORTFOLIO ON I3INVESTOR
Sep 11, 2022 7:26 PM | Report Abuse

Firstly. Pchem has 25% profit margins. Which is far more than every other comparable major petrochemical company.

Secondly 50% of pchem revenues comes from urea or fertilizer. They have an ungodly gross margins on fertilizer. Why?

Thirdly, neither basf, the Koreans, Japanese or the Americans have a major petrochemical processing center in South East Asia. Which means with the delay and difficulty and distance of transportation and logistics, the cheese stands alone.
02/04/2023 8:26 AM

2 months ago

Sslee

So now instead of the the cheese stands alone it become the cheese will be eaten alive for breakfast by China Petrochemical company like what has happen to Malaysia glove industry.

KUALA LUMPUR (April 4): China’s Rongsheng Petrochemical Co Ltd will invest up to RM80 billion for a refining facility in Pengerang, Johor, according to Prime Minister Datuk Seri Anwar Ibrahim.

“The world’s largest petrochemical company Rongsheng has agreed to increase its activities in Malaysia with a petrochemical, oil and gas refining facility in Pengerang, with a project value of up to RM80 billion,” Anwar told the Dewan Rakyat on Tuesday (April 4).

2 months ago

Sslee

Bob,
I am working hard here to promote selective information or misinformation for vested interest so that my BFF UM senior Philip can collect more Pchem cheaply and also me and many here to collect below his holding cost of RM 5.05 post dividend.


Urea
USD/T 307.50 drop another 2.50

2 months ago

James_Bond

I’m taking profits first. Be informed.

2 months ago

BobAxelrod33

Sslee, be careful what you wish for, price dropping like a tonne of bricks. Your call of the chinese investments to compete, spooked them too.

2 months ago

Nepo

https://www.enanyang.my/%E8%A1%8C%E5%AE%B6%E8%AE%BA%E8%82%A1/%E3%80%90%E8%A1%8C%E5%AE%B6%E8%AE%BA%E8%82%A1%E3%80%91%E5%9B%BD%E6%B2%B9%E7%9F%B3%E5%8C%96-%E8%82%A1%E4%BB%B7%E5%A4%A7%E6%8C%AB%E4%BB%B7%E5%80%BC%E6%98%BE%E7%8E%B0

2 months ago

Sslee

Petronas should has invested locally an international petrochemical hub in Malaysia long long ago. If they have done so, many Malaysians will then have a well paying jobs in specialize Petrochemical engineering instead of wasting money in twin tower and formula 1.

Just look at Singapore without any petroleum reserves they can developed an international petrochemical hub in Jurong island

2 months ago

BobAxelrod33

You of all people should know where all the Petronas monies went, right?? Wink wink...

2 months ago

Sslee

In Europe you can drive pass petrochemical complex that stretching on and on for many miles and employed thousand and thoudands of well paying skill workers.

Just wonder why this is not hapenning in Malaysia?

2 months ago

BobAxelrod33

And you think, now that China is able and easily buy Oil from Russia AT LOWER prices, they would want to have a tiny plant in Malaysia. Perhaps, just to have a small impact in case what would happen to the chinese borders??

China has more than 965 Billion sq miles of vacant land for Petrochemical and manufacturing plants.............why choose to get out of China????

2 months ago

BobAxelrod33

Please check the size of the chinese OnG giants as compared to Pet***

Pchem is a contender??? Like Gloves???

2 months ago

BobAxelrod33

Be very, very careful what you wish for.........RM170 Billion investment from China?? Are you ready to face the onslaught of chinese conglomerates and the Company to be owned by them, WITHOUT FREE BUMI PARTICIPATION AND WITHOUT OWNERSHIP RESTRICTIONS? Otherwise, you expect them to give free lunches???

2 months ago

hhhiii123

The swing within a day so crazy one, fight amoung institutional investor lol

2 months ago

bang_miskin

Interesting price movement....

2 months ago

nicholas99

ada rezeki

2 months ago

nicholas99

saudi already plans to build a plant in china. this is perhaps one of the projects to please malaysia or.. diversify..

Saudi Aramco strengthens China ties with two refinery deals

2 months ago

Sslee

With Jan, Feb and March 2023 poor pricing of urea, methanol, polymers and olefins most likely the NP to SH for quater end 31th Mar 2023 will be poorer than quarter end 31/12/2022 of RM 481,000,000 or EPS of 6 cents.

2 months ago

Income

Sslee, please work harder. I need your help. You are God of Gamblers. You can do it.

2 months ago

Sslee

No worries, it look like just need to wait a bit longer for the poor next 2 quarter results to collect cheap cheap.

2 months ago

alibiii

Urea drop to the lowest in late March 2023 when it was about the same time PChem started to go up. Coincidence? Or someone already looks beyond the next quarter QR? We buy for future, not past. See what happend to glove counters lately

2 months ago

James_Bond

Sold 90%, will keep remaining 10% to let profit run… thank you very much!

2 months ago

GS

Any Setel Voucher give to shareholder during today AGM? How Much?
Heard that their product price in 2023 are expected to be lower vs 2022 prices

1 month ago

bigBOSSguy

Going down…good

1 month ago

GS

Here are the Q&A during Tuesday AGM
1. https://www.petronas.com/pcg/sites/default/files/2023-04/Reply%20Letter%20to%20MSWG%20-%20PETRONAS%20Chemicals%20Group%20Berhad.pdf
2. https://www.petronas.com/pcg/sites/default/files/2023-04/Answers%20Script%20for%2025th%20PCG%20AGM%20QnA_For%20Upload%20(FINAL).pdf

1 month ago

Sslee

Based on historical data, PCG’s share price moves in correlation with crude oil prices and prices
of selected chemical products.

PCG’s share price reached a high of RM10.40 in second quarter of 2022, when crude oil was
averaging at USD112 per barrel and prices, for example, of urea was above USD700 per metric
tonne. As of 31 March 2023, crude oil prices have declined by 27%, urea prices came down by
50%, while other chemicals declined between 10% to 35%.

We are of the opinion that the share price has declined due to analysts’ assessment that the
Company’s performance in 2023 will be lower compared to 2022 due to lower GDP growth
forecast and inflationary pressures on costs.

1 month ago

Sslee

A very bad Jan to March 2023 quarter result is coming.

As of 31 March 2023, crude oil prices have declined by 27%, urea prices came down by
50%, while other chemicals declined between 10% to 35%.

1 month ago

Mikecyc

Haha just 2 Projects invested RM 100 Billion …

Posted by nicholas99 > 2 weeks ago | Report Abuse

saudi already plans to build a plant in china. this is perhaps one of the projects to please malaysia or.. diversify..

Saudi Aramco strengthens China ties with two refinery deals

1 month ago

Mikecyc

Haha Going to be :

Of China's total commitment, an estimated RM80 billion will be invested by Rongsheng Petrochemical for the petrochemical refinery in Pengerang.5 Apr 2023

1 month ago

haziqaz

Bagaimana CEO Petronas boleh beri projek RM399 juta kepada syarikat terkait rasuah antarabangsa?
Petrofac syarikat antarabangsa yang terbukti bersalah kerana rasuah. Banyak negara menyekat dan menggantung kerjasama dengan Petrofac tetapi melalui Skandal Big Ben London Petrofac CEO Petronas memberi hampir RM400 juta projek kepada syarikat perasuah. Mengapa? Apa hubungan CEO Petronas dengan Petrofac?
https://thecorporatesecret.com/blog/2023/05/07/bagaimana-ceo-petronas-boleh-beri-projek-rm366-juta-kepada-syarikat-terkait-rasuah-antarabangsa/

1 month ago

investopology

Wow drop so significant recently. What happens?

2 weeks ago

unicornbird

85% of this company is owned by gov & gov linked companies. Any idea why they don't take it private?

2 weeks ago

FinanceInRealLife

Will oil prices rocket or crash? In this video, we dive into the complexities of Oil and Gas Investing, exploring key factors and trends that could shape the industry's future. https://www.youtube.com/watch?v=Ba0mXSPDX8I

1 week ago

Diamond7

https://www.klsescreener.com/v2/news/view/1158351

KUALA LUMPUR: Petronas Chemicals Group Bhd said it has yet to see a meaningful recovery, despite some uplift in demand from China, post-Chinese New year, for selected chemicals.

According to managing director and CEO Mohd Yusri Mohamed Yusof, the overall chemicals sector remains cautious given the volatile energy prices although there have been some positive movements in selected regions in the first quarter.

He added that operating costs have increased due to the effects of inflation on gas and fuel giving rise to energy and utilities costs, further narrowing product spreads and adding pressure on margins.

1 week ago

Sslee

I3lurker,
Petchem quarter ended 31 March result out
Save by Fertilisers and Methanol profit. Look like need to wait another very bad quarter to collect Petchem below Philip cost.

Segment profit for the period 1
Individual quarter ended 31 March
In RM Mil 2023: 2022
Restated
Olefins and Derivatives: 170: 733
Fertilisers and Methanol: 533: 1,172
Specialties: (29): 163
Others2: (138): 4
Total 536: 2,072

1 week ago

Sslee

By the way I am very motivated to collect Pchem below Philip cost.

Methanol price
Jan: USD 389
FEB: USD 376
March: USD 361
April: USD 353
May: USD 341

Urea
Jan: USD 444
Feb: USD 358
March: USD 314
Apri: USD 314

1 week ago

Phoebe

Below RM 5? Is that possible?

Sslee
By the way I am very motivated to collect Pchem below Philip cost.

1 week ago

Sslee

Petronas Chemicals - Not Out of the Woods Yet; D/G to SELL
Date:
2023-05-30
Firm:
RHB-OSK
Stock:
PCHEM
Price Target:
6.00
Price Call:
SELL
Last Price:
6.87
Upside/Downside:
-0.87 (12.66%)
Cut to SELL from Neutral, new MYR6 TP from MYR6.89, 13% downside. Petronas Chemicals’ 1Q23 results missed expectations due to weaker margins. The overall petrochemical market and specialty chemicals outlook remain unexciting amidst a weak recovery in demand. In the near term, we think the stock’s catalysts are lacking, while start-up costs for petrochemical plants at Pengerang Integrated Complex (PIC) could dampen margins.
Missed expectations. 1Q23 core earnings of MYR677m (-67% YoY; -29% QoQ) missed expectations, at 13% and 14% of our and Street full-year estimates. The negative variation was largely led by weaker-than-expected margins. No dividend was declared, as expected.

1 week ago

Diamond7

Date: 2023-05-30
Firm: RHB-OSK
Stock: PCHEM
Price Target: 6.00
Price Call: SELL

Bad quarter!
Coming quarter....worse!

1 week ago

unicornbird

Any idea why the revenue is so high?
that means sales is very good. just cannot profit?

1 week ago

Diamond7

Phoebe

300 posts

@Phoebe
Below RM 5? Is that possible?


Anything is possible in KLSC!!!
"The money is in the waiting"
Charlie Munger
Average downwards.....

1 week ago

i3lurker

dun be silly
poor people when you just give them RM50.00 they will vote for you.
The Rakyat cannot be given brains to think.

Petronas job is to make foreigners rich by investing overseas



Sslee

In Europe you can drive pass petrochemical complex that stretching on and on for many miles and employed thousand and thoudands of well paying skill workers.

Just wonder why this is not hapenning in Malaysia?

1 month ago

1 week ago

Sslee

Urea futures fell below $300 per tonne in late May, the lowest since the opening days of 2021 as feedstock prices continued to slide. Abundant LNG imports and restructured supply chains increased the availability of natural gas in Europe. In the meantime, rising interest rates reduced expectations of future demand, lowering European and US natural gas prices. Also, major importer India continued to buy Russian fertilizers at discounted prices after the Kremlin snubbed European exports, freeing the flow from the giant Middle Eastern producers to Eurasia. Additionally, high inventories in Brazil cut the demand for one of the world’s leading agricultural producers. Previously, shortages of energy feedstock in Europe drove fertilizer plants to shut down or operate well below capacity, sending urea prices to a record $1050 per tonne in April 2022.

1 week ago

unicornbird

Sslee, how many % of pchem's revenue come from Urea?

6 days ago

Sslee

Revenue
quarter ended
31 March
2023: 2022
In RM Mil
Olefins and Derivatives: 3,393: 2,741
Fertilisers and Methanol: 2,407: 3,304
Specialties: 1,745: 578
Others: 12: 11
Total: 7,557: 6,634

6 days ago

unicornbird

From the data, urea is about 30%. But what cause the net profit to drop so much, till it's the lowest in past 5 years?

6 days ago

Diamond7

Petronas Chemicals Group Bhd’s (PetChem) profit outlook for the second quarter of financial year 2023 (2Q23) looks even weaker than 1Q23, given the cyclical headwinds facing the petrochemical sector, say analysts. The group registered 1Q23 core net profit of RM604mil, down 29% quarter-on-quarter and fell 71% year-on-year. (TheStar)

Sell in May n run away!

4 days ago

Mabel

Haha now June oledi...

Waiting at RM 6..

2 days ago

unicornbird

for Petchem type of industry, the most expensive cost is feedstock. If Petronas carigali can subsidize Petchem, can it become the top player in this region? since there are no other companies like this.
Petamina is not ready & doesn't have complete up & downstream

2 days ago