KUWAIT, August 30, 2023 — The EQUATE Group, a global producer of petrochemicals and the world’s leading supplier of ethylene glycol announced its earnings for the first half of 2023.
The EQUATE Group reported total revenue of US$1,518 million in H1 2023, compared to US$2,238 million during the same period in 2022. The Group also reported a net income after tax of US$89 million and EBITDA of US$377 million, compared to US$537 million and US$855 million, respectively, for 2022.
Despite market volatility sentiments, EQUATE Group maintains its reliable operation with a sold-out volume position and continues to navigate a challenging macroeconomic landscape marked by slow global growth. In the face of this dynamic economic environment, EQUATE Group has demonstrated its agility by delivering positive results.
Commenting on the results, Naser Aldousari, President and CEO of EQUATE Group, said: “EQUATE continues to maintain a distinguished operational performance although it has experienced lower year-over-year sales and earnings due to ample supply and sluggish market conditions. The results reflect our strengths in the market and our commitment to operational efficiency. Leveraging our competitive cost position and strategically located facilities, we successfully completed our periodic turnaround for the Ethane cracker, downstream derivatives and utilities while continuing to fulfill customer demand in key regions. We proactively focused on prioritizing higher-value opportunities where regional demand netback remains strong. We are focused on maintaining consistent and disciplined performance in the short term while aiming for long-term growth and cash flow, and we are confident in our ability to continue delivering our financial targets across the economic cycle.”
“As we continue on our journey towards sustainability, EQUATE Group is in the planning phase to transition its sustainability strategy to align with a holistic Environmental, Social and Governance (ESG) approach, reaffirming our compliance with international standards and regional goals and reflecting our commitment to overall sustainable development. Through partnerships with institutions, businesses, and society, we are focused on reducing emissions, and aiming for pursuing carbon neutrality across all EQUATE Group-owned operations in alignment with local and regional targets.”
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ABOUT THE EQUATE GROUP
The EQUATE Group is a global producer of petrochemicals and the world’s leading supplier of ethylene glycol (EG). The EQUATE Group owns and operates industrial complexes in Kuwait, North America and Europe that annually produce over 6 million tons of ethylene glycol (EG), polyethylene (PE), polyethylene terephthalate (PET), styrene monomer (SM), paraxylene (PX), heavy aromatics (HA) and benzene (BZ). The EQUATE Group includes EQUATE Petrochemical Company (EQUATE), The Kuwait Olefins Company (TKOC), as well as a number of subsidiaries such as MEGlobal and Equipolymers. Their products are marketed throughout Asia, the Americas, Europe, the Middle East and Africa. The EQUATE Group’s shareholders are Petrochemical Industries Company (PIC), The Dow Chemical Company (Dow), Boubyan Petrochemical Company (BPC) and Kuwait Projects Company – KIPCO. Employing more than 1,500 people worldwide, the EQUATE Group is a leading enterprise that pursues sustainability wherever it operates through partnerships in fields that include the environment, economy and society. Visit www.equate.com
Disclaimer
This earnings announcement (the Announcement) is for information only. The announcement is based on financial information of EQUATE Petrochemical Co. K.S.C.C. and The Kuwait Olefins Co. K.S.C.C. (together with their consolidated subsidiaries, the EQUATE Group) which is subject to change without notice and the accuracy thereof is not guaranteed. The information in the Announcement does not intend to contain all material information concerning the financial status of the EQUATE Group. We do not make any representation regarding, and assume no responsibility or liability (however arising and regardless of nomenclature) for, the accuracy or completeness of, or any errors or omissions in, any information contained in the Announcement. Historical and current performance data are not necessarily indicative of future performance. Information contained in this Announcement may refer to forward-looking statements. The views in the Announcement are based on current assumptions which are subject to various risks and may change over time, as such we make no representations in respect of the correctness, accuracy, and/or completeness of such assumptions. Further, no assurance can be given that future events will occur, and/or that projections (if any) will be achieved. Past performance is not a reliable indication of future performance. Actual results may differ materially from those projected. The Announcement shall not be considered, or in any way construed, as an offering of securities.