Borouge Plc, the Abu Dhabi-based petrochemicals major and joint venture between ADNOC and Austria’s Borealis, posted a net profit of $281 million in the first quarter of 2025. This is a 3% year-on-year increase, driven by increased production, rising sales volumes, and careful cost management. The company’s revenue also registered a 9% rise to $1.42 billion.
The operational prowess of the company was visible through a 7% year-on-year production volume increase, with a record monthly output for March. Asset reliability was at a high 94.4%, with polyethylene and polypropylene operating rates at 101% and 98%, respectively. Overall sales volumes increased by 10% to reach 1.25 million tonnes, driven by robust demand in Middle East and Asia Pacific markets.
Borouge’s high-value product segment strategy paid dividends, with polyethylene and polypropylene prices averaging $224 and $154 per tonne, respectively, beating management’s through-the-cycle guidance. This pricing resilience helped deliver a strong EBITDA of $564 million, sustaining industry-leading margins of 40%.
For the future, Borouge made news of increasing its 2025 dividend payout to 16.2 fils per share, with hopes of keeping this payment level through 2030. The company is also implementing a share buyback program and has already repurchased 64 million shares, showing strong faith in its future performance. In addition, Borouge is also experiencing a major overhaul, with the intent to merge with Borealis and take over Nova Chemicals, to become a $60 billion global petrochemical leader by 2026.
