Borouge Plc has reported significant financial growth with a 33% increase in net profit for Q2 2024, driven by record production volumes and strategic expansions in both the UAE and China.

Target Company Overview

Borouge Plc is a prominent petrochemical company based in Abu Dhabi, specializing in innovative and differentiated polyolefins, supported by advanced technology solutions. In the second quarter of 2024, Borouge reported a revenue of $1.5 billion, reflecting a 6% year-on-year increase, and a net profit surge of 33% year-on-year, totaling $308 million. The company's exceptional financial results were bolstered by record production volumes and improved operational efficiencies.

The company achieves a remarkable 41% EBITDA margin, showcasing its industry-leading profitability. In the second quarter, Borouge's production capacities were utilized effectively, achieving rates of 114% for polyethylene and 103% for polypropylene, driven largely by a consistent focus on process safety and operational reliability. Borouge's premium polyolefin products contributed significantly to its robust sales performance amidst a challenging global petrochemical market.

Industry Overview in the UAE

The UAE's petrochemical sector is a crucial segment of its economy, strategically positioned to leverage its abundant natural resources. The industry has witnessed substantial growth, supported by advanced infrastructure and strong gove