LOTTE Chemical Titan Holding Berhad reported second-quarter financial results with revenue amounting to approximately RM1.9 billion, compared to RM2.8 billion in the previous year, representing a decrease of 34% year-on-year. The decline was mainly due to lower product selling prices as well as sales volume. Corresponding to the lower revenue, the Group posted a net loss of RM327.7 million for 2Q FY2023 mainly attributable to a decline in margin spread amid weakened market demand resulting from the volatile external environment, such as raising interest rates by the central banks to fight inflation; Higher cost of operation, such as higher electricity cost resulting from the increase in Imbalance Cost Pass-Through (ICPT).
In the six months period ended 30 June 2023 (1H FY2023), the Group recorded revenue of RM3.8 billion, a decrease compared to the same period last year due to lower sales volume and selling prices. In 1H FY2023, the Group registered a net loss of RM559.3 million due to the factors stated above and a share of losses from LOTTE Chemical USA Corporation (LC USA).
President and CEO, Mr Park Hyun Chul commented, “In general, we have experienced a challenging period under the weight of a deteriorating external environment. The market volatility is expected to remain elevated arising from the slower economic growth as policymakers raised interest rates to tame inflation.
