Borouge exceeded market expectations after declaring a web revenue of US$193 million for the second quarter of 2025.
Spotlight of the quarter for the Abu Dhabi petrochemicals firm that gives modern and differentiated polyolefins options was the deliberate Borouge 3 turnaround, which was executed inside the funds and delivered eight days forward of schedule.
It was the biggest and most advanced turnaround so far, with the corporate optimising downtime by 15 per cent by way of environment friendly planning. These common six-year upkeep turnarounds are important to servicing Borouge’s world-class belongings and sustaining excessive utilisation charges and manufacturing volumes.
Borouge maintains progress regardless of challenges
The corporate reported income of US$1.31 billion in Q2 2025, in comparison with US$1.5 billion in Q2 2024, regardless of the deliberate Borouge 3 upkeep and common promoting costs declining by 1 per cent quarter-on-quarter and three per cent year-on-year, in keeping with broader market situations.
Adjusted EBITDA for the second quarter was US$440 million, reflecting efficiency above expectations through the Borouge 3 turnaround. The corporate maintained a wholesome EBITDA margin of 34 per cent, supported by product combine optimisation all through a scheduled main upkeep occasion.
For the primary half of the yr, income stood at US$2.72 billion in comparison with US$2.81 billion in H1 2024. Adjusted EBITDA reached US$1 billion versus US$1.18 billion within the prior-year interval, with margins supported by sturdy pricing premia, value self-discipline and stock gross sales.
Adjusted EBITDA for the primary half of 2025 was US$1 billion, supported by sturdy margins and pricing. Gross sales volumes was 1.1 million tonnes, with continued momentum in high-value infrastructure and superior packaging segments.
Gross sales volumes totalled 1.1 million tonnes, broadly secure quarter-on-quarter, supported by roughly 140 kilotonnes of stock gross sales. Excessive-value merchandise continued to account for 41 per cent of whole volumes, with sturdy momentum in infrastructure and superior packaging functions.
Robust pricing premia above product benchmark costs for polyethylene (PE) and polypropylene (PP) was a key spotlight of the quarter, with US$249 per tonne achieved for PE and US$141 per tonne for PP, each exceeding administration’s through-the-cycle steering.
World benchmarks for PE and PP declined barely, however Borouge sustained pricing self-discipline and continued to optimise its regional gross sales combine, with an rising share allotted to Center East and Borealis-linked markets providing greater netbacks.
Borouge closed the quarter with a web debt-to-EBITDA ratio of 1.0x, sustaining a powerful stability sheet and important monetary flexibility. Capital expenditure in Q2 amounted to US$130 million.
Hazeem Sultan Al Suwaidi, Chief Government Officer of Borouge, commented: “Borouge’s outcomes are underpinned by wholesome money flows, disciplined execution and robust pricing premia, following the profitable completion of the deliberate Borouge 3 turnaround, our largest so far.
“Reflecting our dedication to delivering shareholder worth, we reaffirm our intention to extend Borouge’s dividend to 16.2 fils per share for 2025 and our proposed H1 2025 dividend of 8.1 fils per share to be paid in September. The elevated dividend can be anticipated to function the meant minimal share payout to a minimum of 2030 beneath Borouge Group Worldwide.”
The corporate mentioned it continues to execute a share buyback accredited at its AGM in April, reflecting the corporate’s sturdy confidence in its future prospects. It has bought 125 million shares on the finish of the second quarter.
As for its outlook for the rest of the yr, Borouge mentioned it continues to give attention to differentiated merchandise in its core areas, supporting sturdy worth premia and robust efficiency anticipated by way of H2 2025. With the deliberate turnaround now efficiently concluded, it’s properly positioned to optimise manufacturing capability and to benefit from improved market dynamics as they emerge.