ADNOC JV Borouge hits $2.8b in H1-23 revenues, board endorses $650m interim dividend

ADNOC JV Borouge hits $2.8b in H1-23 revenues, board endorses $650m interim dividend

Borouge's board has endorsed an interim dividend of $650 million to be approved by shareholders during the second half of the year. The company also reiterated its commitment pay $1.3 billion in dividends for 2023.

"In a challenging market environment, our results for the second quarter and first-half of 2023 are a demonstration of our resilience," said Hazeem Sultan Al Suwaidi, CEO of Borouge. "Following the successful completion of the planned turnaround of our Borouge 2 facility, our production is at a very high utilisation rate."

"In addition, we continue to achieve significant efficiencies through our ambitious Value Enhancement Programme, which is assisting us in mitigating market pressures and positions us for further growth."

In Q2-2023, the petrochemical company’s revenue increased by 2.5 per cent quarter-on-quarter, to reach $1.4 billion, and declined on a year-on-year basis. Borouge reported net income of $231 million for the three months ended June 30, 2023, increasing by 16 per cent compared to the first quarter, supported by a 4 per cent increase in sales, but decreased compared to Q2-2022.

While top and bottom-line performance in Q2 faced year-on-year pricing challenges, Borouge delivered a healthy EBITDA margin of 37 per cent, up 10 per cent compared to the previous