Lotte Chemical Titan Holding Bhd (LCTH) recorded the highest net profit for the first quarter ended March 31, 2021 of RM440 million compared to a net loss of RM170.06 million in the first quarter of 2020.
LCTH revenue increased by 62% year-on-year to RM2.37 billion from RM1.46 billion previously due to higher average product sales prices and sales quantities, in line with the global economic recovery following the announcement of the worldwide Covid-19 vaccination program.
“Disruption of plant operations in the United States (US) and Southeast Asia coupled with recovery activities in the Middle East has affected the global supply chain.
"The lack of containers has boosted demand sentiment as buyers experience longer delivery times for shipments to Southeast Asia," he said in a filing to Bursa Malaysia today.
Amid uncertain external conditions, LCTH said the company would continue to closely monitor the development of the pandemic as the petrochemical industry was linked to it and relied heavily on regional and global economic growth as well as aggregate consumption patterns.
"Therefore, we expect the petrochemical business to remain volatile for the remainder of this year.
"However, the company will continue to maintain its strong financial resilience and optimize its operations to weather the challenging business environment," he said as reported by Bernama.
At the midday break, LCTH shares declined 2.75% to RM2.83.
LCTH has 2.27 billion shares issued, based on its latest quarterly report.
