34
BECAUSE THERE IS NO PLANET B PTTGC Analyst Meeting Presentation Q1’2018 Performance 10 May 2018
BECAUSE THERE IS NO PLANET B
PTTGC Analyst Meeting Presentation
Q1’2018 Performance
10 May 2018
This presentation includes forward-looking statements that are subject to risks and uncertainties, including those pertaining to the anticipated benefits to be realized from the proposals described herein. This presentation contains a number of forward-looking statements including, in particular, statements about future events, future financial performance, plans, strategies, expectations, prospects, competitive environment, regulation and supply and demand. PTTGC has based these forward-looking statements on its views with respect to future events and financial performance. Actual financial performance of the entities described herein could differ materially from that projected in the forward-looking statements due to the inherent uncertainty of estimates, forecasts and projections, and financial performance may be better or worse than anticipated. Given these uncertainties, readers should not put undue reliance on any forward-looking statements. Forward-looking statements represent estimates and assumptions only as of the date that they were made. The information contained in this presentation is subject to change without notice and PTTGC does not undertake any duty to update the forward-looking statements, and the estimates and assumptions associated with them, except to the extent required by applicable laws and regulations.
Disclaimer
2
3
Vision and Mission
4
PTTGC Sustainable Development
04
03
02
01 Strategic Direction
Q1 2018 Financial Results
Market Outlook
Appendix
Agenda
5
04
03
02
01 Strategic Direction
Q1 2018 Financial Results
Market Outlook
Appendix
Agenda
6
Q1/2018 Highlight
7
102%
91%
101%
105%
REFINERY AROMATICS
OLEFINS POLYMER
ACHIEVED HIGH OPERATING RATE
Increasing in sale revenue at 120,939 MB,
+9% yoy and +2% qoq, with net profit
12,388 MB, -6% yoy and +30% qoq
Doubling in CLMV polymer selling volume
from same period last year
Maintaining high operating rate and
reliabilities
Gaining of Olefins chain, HDPE at $1,379/T,
to offset softening in Refinery and Aromatic
Continuing benefit from asset injection
(+318% yoy), mainly from PP and AN
chain, and MAX project contribution
2018 The journey continue
Achieve high operating rate in Q1’2018
Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 Q1/18
Polymer selling volume in CLMV market in the past 3 years
Investment Execution
8
Actual 14.77% Plan 9.73%
Actual 8.82% Plan 5.20%
Progress Rate
Actual 10.42% Plan 8.30%
Project progress ~15% Almost 5% ahead schedule
Project progress ~9% Almost 4% ahead schedule
Project progress ~11% Almost 3% ahead schedule
ORP Project PO Project Polyols Project
Investment Execution
9
LLDPE II COD
COD on 1st March 2018
Adding 400KTA of LLDPE
Extend downstream chain
Growing of share profit of
investment +318% yoy
Increase from 484 MB in
Q1’17 to 2,024 MB in Q1’18
Asset injection
Actual 14.77% Plan 9.73%
Actual 8.82% Plan 5.20%
Progress Rate
Actual 10.42% Plan 8.30%
Land acquisition
SPA signed for ~890 rai
Located in Asia Industrial
Estate (AIE), Ban Chang,
Rayong province
Capex is incorporate in EEC
pathway preparation for
downstream expansion
Area is authorized with
emission quota, which is
one of a key factor to
operate
Prompt utilities facilities i.e.
water, electricity, pipe rack,
road
Approved IHQ license
Study for liability management
Treasury Center
Marketing Development
10
Open Customer Solution Center Satellite “Ton Koon” with Industry Transformation Center Location : Department of Industrial Promotion
Modular green house
LPG Cover
Colostomy Bag
Participated in International trade fair in Vietnam
Market focus
04
03
02
01 Strategic Direction
Q1 2018 Financial Results
Market Outlook
Appendix
Agenda
11
Overview of Business Unit’s Performance
12
Q1’2018 Revenue and Adjusted EBITDA Structure
BU Price Quantity EBITDA%
REF
Mkt GRM 4.06->8.08$/Bbl
CDU U-rate 99%->103%
Adj EBITDA 5% 8%
ARO
BTX P2F 181->185 $/T
BTX U-rate 75%->82%
Adj EBITDA 9% 8%
OLE& Derivative
EBITDA margin 27%->28%
OLE U-rate 92%->96%
Adj EBITDA 27% 28%
BU Price Quantity
REF
Mkt GRM 6.02->6.15$/Bbl
CDU U-rate 102%->102%
ARO
BTX P2F 321->166 $/T
BTX U-rate 78%->91%
OLE &Derivatives
EBITDA margin 32%->32%
OLE U-rate 95%->101%
(Unit: Million Baht) Q1/2017
(Restated)* Q4/2017 Q1/2018
YoY % +/(-)
QoQ % +/(-)
Sales Revenue 110,831 118,743 120,939 9% 2%
EBITDA 19,061 16,593 16,308 -14% -2%
EBITDA Margin (%) 17% 14% 13% -22% -4%
Share of profit of investments in JV and Associates 1,423 1,704 2,024 42% 19%
(Profits attributable to Owners of the Parent)*** 484 1,704 2,024 318% 19%
Net Profit 13,182 9,559 12,388 -6% 30%
EPS (Baht/Share) 2.96 2.12 2.75 -7% 29%
Adjusted EBITDA** 18,550 14,105 16,319 -12% 16%
Adjusted EBITDA Margin (%) 17% 12% 13% -4% 1%
Note: * Restatement to include Assets injection of 6 companies, retrospect to 1 January 2016 ** Adjusted EBITDA refers EBITDA excluding impact of oil stock value *** Reported only portion attributable to the Company and actual realization after the Asset injection
Q1’18 net profit decreased 794 MB or 6% YoY mainly from; 1. Operating profit from BAU decreased 1,261 MB
2. Share of gain from JV&Associates: increased 1,540 MB mainly from performance of HMC and PTTAC and Natureworks from higher sales volume and selling price. 3. MAX project: new initiatives in Q1’18 contributed 347 MB 4. Stock gain (loss), NRV and Commodity Hedge: loss of 67 MB in Q1’18, decreased by 589 MB.
Key highlight (YoY)
147.9 149.5 149.7 148.1 147.7 120.9
148.8
30.5 28.9 32.3 34.3 34.4 28.7
31.5
178.4 178.4 182.0 182.4 182.1
149.6
180.3
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Crude Condenstate Residue
Refinery Performance
13
(Unit: USD/bbl) Q1/2017 Q4/2017 Q1/2018 YoY
% +/(-) QoQ
% +/(-)
Dubai Crude Oil 53.12 59.33 63.88 20% 8%
Gasoline-Dubai 14.78 14.41 13.73 -7% -5%
Jet-Dubai 11.32 13.28 16.11 42% 21%
Diesel-Dubai 11.83 13.04 14.76 25% 13%
Fuel Oil-Dubai -3.14 -3.08 -4.96 -58% -61%
Market GRM 6.02 6.76 6.15 2% -9%
Adjusted EBITDA Margin 6% 2% 5% -1% 3%
Total Intake (KBD)
83% 103% 102% 103% 103% 102% 102% CDU U-Rate
+2% YoY -0% QoQ
• Market GRM is at $6.15/bbl, +2% yoy from increasing in middle distillate.
• The middle distillate spread is improved but partial offset by increasing in crude premium
and decreasing in by product spread.
• The operating rate is maintain at 102%.
6% 6% 6% 9% 11% 10% 7%
31% 34% 24%
29% 29% 29% 30%
39% 35% 42%
39% 36% 37% 39%
24% 25% 28% 23% 24% 23% 25%
758 728 730 967 939 3,455 3,183
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Other By-Products Naphtha Group PX Group BZ Group
Aromatics Performance
14
Aromatics Sales Volume (KTons)
+24% YoY -3% QoQ
• BTX P2F Margin is at $166/T, -48% yoy.
• Although, the product spread of PX and
BZ are at 381$/T and 318$/T,
respectively, which support by demand of
downstream product but offsetting by
softening in byproduct spread especially
LPG and naphtha.
78% 66% 82% 93% 91% 82% 80%
BTX U-Rate (%)
(Unit: USD/ton) Q1/2017 Q4/2017 Q1/2018 YoY
% +/(-) QoQ
% +/(-)
Condensate 465 528 573 23% 8%
Paraxylene (FECP) 885 886 953 8% 8%
Paraxylene(FECP)-Condensate 420 358 381 -9% 6%
Benzene (Spot Korea) 923 839 891 -4% 6%
Benzene-Condensate 458 311 318 -31% 2%
Naphtha-Condensate 34 42 8 -76% -81%
LPG-Condensate 46 -29 -93 -302% -221%
Market P2F 321 194 166 -48% -14%
Adjusted EBITDA Margin 22% 8% 6% -16% -2%
Olefins and Derivatives Performance
15
(Unit: USD/ton) Q1/2017 Q4/2017 Q1/2018 YoY
% +/(-) QoQ
% +/(-)
Naphtha (MOPJ) 499 570 581 16% 2%
Ethylene (SEA) 1,090 1,195 1,243 14% 4%
Propylene (SEA) 933 828 987 6% 19%
HDPE 1,176 1,226 1,379 17% 12%
PP 1,159 1,196 1,270 10% 6%
HDPE-Naphtha 677 656 798 18% 22%
LLDPE- Naphtha 716 624 660 -8% 6%
LDPE- Naphtha 831 703 694 -17% -1%
MEG-0.65 Ethylene 370 283 333 -10% 18%
Adjusted EBITDA Margin 32% 29% 32% 0% 3%
149 131 130 152 122
622 562
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Olefins Sales Volume & U-Rate (%)
U-Rate
Sales Volume
Polyethylene Sales Volume & U-Rate (%) Sales Volume
MEG Sales Volume & U-Rate (%) Sales Volume
U-Rate
U-Rate
401 405 435 421 414 1,524 1,662
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
88 101 117 119 110 424 426
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
95% 89% 96% 103% 101% 90% 96%
116% 108% 113% 115% 105% 102% 113%
67% 90% 111% 110% 111% 95% 94%
• Adjusted EBITDA margin is at 32%.
• This support by improving in HDPE price,
which support along with surge in oil price
and MEG spread, which support from
demand of downstream product, are the key
support in this quarter.
Performance Comparison YoY
16
Stock Gain/(Loss) & NRV&Commodity Hedge
Q1’18 = (67) Q1’17 = 522
FX Gain Q1’18 = 669
Q1’17 = 1,500
Unit : Baht MB
Operating Profit from BAU
Project MAX on top in
2018
Sharing from JV & Associate
Q1’18 = 2,024 Q1’17 = 484*
*Sharing from JV&Associated is non-reatatement basis Q1-17(A) Q1-18(A)
• The performance is support from increasing in volume from having high operating rate, increase
of average HDPE price of $1,379/T and Sharing from Investment, mainly from AN and PP Chain,
AN price at $1,890/T (+29% yoy) and PP price at $1,270/T (+10% yoy). Meanwhile, MAX project
is continue to deliver additional benefit of 347MB in this quarter
• Nevertheless, the performance is soften because of decreasing of aromatic product as well as
byproduct spread . The butadiene price is at normal level compare with abnormal high in Q1’17.
• The appreciation of THB by 10% also has affect the performance.
-6% yoy
Performance Comparison QoQ
17
Stock Gain/(Loss) & NRV&Commodity Hedge
Q1’18 = (67) Q4’17 = 982
FX Gain
Q1’18 = 669 Q4’17 = 292
Unit : Baht MB
Project MAX on top in 2018
Operating Profit from BAU
Sharing from JV & Associate
Q1’18 = 2,024 Q4’17 = 1,704
Extra Item
Q4-17 (A) Q1-18 (A)
• The performance is increased mainly from increasing in HDPE price and MEG spread.
• The Sharing from Investment is continue benefit, especially from PP and AN chain, and MAX
project is continue benefit from last year and expect to give benefit by ~6,000 MB in this year.
• These partial offset by softening in refinery GRM and aromatic byproduct price, especially
naphtha and LPG.
+30% qoq
Q4’17 = (2,131) Myraint MLPI = (1,839)
Project Study (292)
Strong Financial Position
Cash Flow THB Bn
18
Statements of Financial Position
Cash +ST Investment
CA
PPE
Liab.
IBD
Share Holder’s Equity
Mar 31,2018
447 Bn
Dec 31,2017
435 Bn
55 56
12 6
5
BeginningCash + S/TInvestment
OperatingCash Flow
CAPEX Financing EndingCash+S/T
Investment
• Cash & ST Investment (56 billionTHB) and private
fund of 65 billion THB at the end of Q1’18.
• The interest bearing debt is 62% on fixed rate and
38% is float rate. THB debt is a major portion of
56% of our debt profile, while 44% is in USD,
mainly from US Bond.
• Q1’18, the major capex is based on announced
investment mainly from investing in ORP, PO&Polyols
project.
• The repayment profile is around 10 billion THB per
year on average but 2021 will increase from
retirement of THB bond (4-yr, 3.05%), which issued
last year and 2022 will increase from maturity of USD
bond. The average loan life is ~3.69 years with
average cost of long term debt ~3.88%.
2018 Market Outlook
101%
91%
99%
100%
REFINERY
AROMATICS
OLEFINS POLYMER
• Maintain high CDU operating rate of 101%
• Positive view on middle distillate, G/O $14.6/bbl and Jet $15.3/bbl from
high demand and recover of global economy and economics activities
• Continue high operating rate at 91%, which benefit from ARO plant II
T/A last year and there is no major T/A in the year.
• Positive view on demand of downstream product especially polyester
and phenol, while some concern on new capacity in 2H18, translated to
PX spread $361/T and BZ spread $281/T
• Anticipated high operating rate of olefins at 99%, which
incorporate a month T/A of OLE I. Meanwhile, polymer is
anticipated at 100%.
• HDPE price is expected to be on average at $1,303/T as
support by growing in global demand and additional
demand from China in this year
Sale revenue is anticipated to grow from previous year from high operating rate and
product price because of high dubai price, $65-70/bbl, on average in this year.
19
04
03
02
01 Strategic Direction
Q1 2018 Financial Results
Market Outlook
Appendix
Agenda
20
21
CRUDE OIL : Geopolitical tensions and supply disruptions support tight market sentiment
Supply Risk Concerns Drive Crude Price
45
50
55
60
65
70
75
80
Oct-17 Nov-17 Dec-17 Jan-18 Feb-18 Mar-18 Apr-18 May-18
Brent WTI Dubai
• Disruption in OPEC support strong compliances • Back to normal on crude spread as market return
to balance situation
Crude Price
Key Market Event June 22
OPEC Meeting June 23
OPEC & Non-OPEC Meeting
Current Market Driven Factor
Upside Factor
Downside Factor
•US pulled out of Iran nuclear deal and would re-impose economic sanctions which would effect after 90-180 days •Venezuela oil output depletion (500 KBD)
•US-China trade war uncertainty which could impact to global economy and oil demand
•Pressure from firm USD index
• Saudi could raise output to offset Iran portion
0.0
1.0
2.0
3.0
4.0
2012 2013 2014 2015 2016 2017 2018 2018 YTD
Brent-Dubai Spread
Unit : $/BBL
Unit : $/BBL
November OPEC Meeting
DUBAI CRUDE PRICE TREND 2018
22
64
69 66 67
53
67
40
45
50
55
60
65
70
75
Q1-18 Q2-18 Q3-18 Q4-18 2017 2018 (F)
Unit : $/BBL 2018
65-70 $
Source : PTTGC
CRUDE OIL : US output to keep market in balance by catching up demand. However, not for short term disruption
Raise of US crude production and drilling support strong supply growth projection
• Global oil demand under higher crude & energy prices
• Strongly growing of US output from high crude price
• Uncertainty in US inter-trade policy
9.5
10.6
8.5
9.0
9.5
10.0
10.5
11.0
ม.ค. 18 ก.พ. 18 มี.ค. 18 เม.ย. 18 Source : EIA, IEA
US output to increase 1.4 MBD
in 2018
Oil demand growth 1.4-1.5 MBD in 2018
• Iran export reduction from US sanction
• OPEC & Non-OPEC measures in 2019 (balancing between disruption & compliance)
• OPEC additional disruption (e.g. Venezuela, Libya, Nigeria)
Weekly US Crude Production (MBD)
KEY BULLISH FACTOR KEY BEARISH FACTOR
FACTOR TO WATCH IN 2018
250
300
350
400
450
500
550
600
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
AVG 2012-2016 2017 2018
KEY FACTOR IN 2018
(-) Potentially strong China export
(-) Raise of fuel price with lower subsidies environment
(+) Limit of additional refining capacity since 2017
REFINERY : Robust demand amid tight supply from series of refinery turnaround support refining margin. Regaining balance in middle distillate put upward sentiment
STRONG DEMAND AMID LACK OF NEW SUPPLY SUPPORT GLOBAL REFINERY
PRICE TREND & FORECAST
-4.9 -5.4 -4.2 -4.4 -2.3
-4.7
13.7 13.9 14.7 13.4 14.9 13.9
14.8 15.1 14.2 14.6 12.5
14.6
-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
Q1-18 Q2-18 Q3-18 Q4-18 2017 2018 (F)
$/BBL
Diesel – Dubai
ULG95 – Dubai
23 Source : PTTGC
Fuel Oil – Dubai
REGAINING IN MIDDLE DISTIILATE BALANCE
OECD Middle Distillate Stocks
Source : IEA
Unit : MBD
Singapore GRM
2016 : 6.1 2017 : 7.1 2018 YTD : 6.8
798 729 648 654 672 707
1379 1332 1238 1262
1168 1303
991 993 967 1013 849
991
0200400600800100012001400160018002000
0
200
400
600
800
1000
1200
1400
1Q18
(F)
2Q18
(F)
3Q18
(F)
4Q18
(F) -
2017
2018
(F)
$/M
T
OLEFINS AND DERIVATIVES : Strong Asia demand could lessen new supply impact from China and US.
PRICE TREND
PROPYLENE MARKET HIGHLIGHTS
OLEFINS AND DERIVATIVEAS HIGHLIGHTS PRICE TREND
Polyethylene
(+) PE to stay firm in 1H due to several plant turnarounds across regions.
(+) China will completely ban import of waste plastics from 1 Jan 19. Evidently, Recycled import was almost replaced by virgin PE in 1Q18.
(-) Fade down in US-China trade war, while new 5 MMTA US PE exports still on track.
MEG
(+) Firm demand from polyester supports market in 1H.
Propylene
(+) NEA’s PDH outage at 900KTA causing tight supply in 1Q-2Q. (+) Approx. 1.6 MMTA supply loss in 2Q due to CTO and MTO in China plan to shutdown.
Polypropylene
(+) China producers starts maintenance approx. 1.7 MMTA, bolstering import demand in 2Q.
(-) Additional supply in 2H from the delayed start up of Vietnam at 400KTA and China at 400KTA.
406 357 312 297 328 343
283 302 318 293 332 299
987 960 902 905 823 938
1270 1262 1220 1198 1155 1238
0
200
400
600
800
1000
1200
1400
1Q18 (F) 2Q18 (F) 3Q18 (F) 4Q18 (F) 2017 (F) 2018 (F)
$/M
T
PP Price
Propylene Price
PP-Propylene
Propylene-MOPJ
Source: PTTGC
Source: PTTGC
HDPE* Price
MEG Price
HDPE-MOPJ
HD
PE-M
OP
J spre
ad ($
/MT)
*HDPE SEA
24
25
PHENOL & BPA MARGIN : Higher on tight supply and delay of new supply
PHENOL/BPA HIGHLIGHTS
Phenol
(+) Consecutive plant turnaround during Q2’18 and the idling of Shell’s plant in US (240KTA) keeps margin remains high
(-) New Anone plant in China (150KTA) is planned to start-up in 2H and less demand from downstream in 2Q due to plants troubles and T/A
BPA
(+) Turnaround of plants in Asia during Q2’18 keep supply tight
(-) Margin could slowdown in 3Q when schedule T/A ends
466 488
277 279 316
378
375 362 323 291
239
338
0
100
200
300
400
500
600
700
1Q18 2Q18 (F) 3Q18 (F) 4Q18 (F) 2017 2018 (F)
$/M
T
BPA P2F
Source: PTTGC
Phenol P2F
AROMATICS & DERIVATIVES : Strong Aromatic’s downstream demand while approach of new supply suppress margin
AROMATICS : New supply pressure while strong demand still support
AROMATICS HIGHLIGHTS
Source : PTTGC
[-] More supply available from new capacity in Saudi Arabia, Vietnam and higher feedstocks price
[+] PX : Demand steady to firm from PTA/PET Resin
[+] BZ : SM/Phenol demand recovery from return of production from turnaround & more restocking activities
[+] Aromatic plant turnaround in Q4 could support
• PX : more balance from strong growing demand • BZ : oversupply market pressure on margin 383
359 355 347 358 361
310 245
278 292 327
281
-
100
200
300
400
500
1Q18 2Q18(F) 3Q18(F) 4Q18(F) 2017 2018(F)
$/M
T
PX-Naphtha BZ-Naphtha
04
03
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01 Strategic Direction
Q1 2018 Financial Results
Market Outlook
Appendix
Agenda
26
Maintenance Shutdown Schedule 2018
27
Consolidated Income Statement
28
Unit : MB Q1/2017
(Restate)* Q4/2017 Q1/2018
YoY % + /(-)
QoQ % + /(-)
Sales Revenue 110,831 118,743 120,939 9% 2% Feedstock cost (80,815) (88,964) (92,119) 14% 4% Product to Feed Margin 30,016 29,779 28,820 -4% -3%
1 Variable Cost (6,265) (6,579) (6,774) 8% 3% 2 Fixed OH (3,599) (4,807) (3,722) 3% -23% 3 Stock Gain/(Loss) and NRV 511 2,488 (11) -102% -100%
4 Gain/(Loss) on Hedging Commodity 11 (1,506) (56) -609% 96%
5 Other Revenue 1,020 1,151 992 -3% -14% 6 SG&A Expenses (2,633) (3,933) (2,941) 12% -25%
EBITDA 19,061 16,593 16,308 -14% -2% 7 Depreciation & Amortization (5,283) (4,842) (4,701) -11% -3% 8 Loss from impairment of assets 0 (2,296) 0 0% -100%
EBIT 13,778 9,455 11,607 -16% 23% 9 Net financial expense (814) (679) (501) -38% -26% 10 FX Gain(Loss) 1,500 292 669 -55% 129%
11 Share of gain/(loss) from investment 1,423 1,704 2,024 42% 19%
Share of gain/(loss) from investment (Owners of the parent)***
484 1,704 2,024 318% 19%
12 Corporate Income Tax (1,623) (1,020) (1,237) -24% 21% 13 Net Profit after Tax 14,264 9,752 12,562 -12% 29% Profit/(loss) attributable to:
14 Owners of the Company 13,182 9,559 12,388 -6% 30% 15 Non-controlling interests 1,082 193 174 -84% -10% 16 Adjusted EBITDA** 18,550 14,105 16,319 -12% 16%
(3.1) (1.8) (1.4)
(3.1) (5.0) (5.0)
(2.4)
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Refinery Performance
29
Petroleum Products - Dubai Spread (USD/BBL) Refinery Sales Volume (KBD)
Gross Refinery Margin (USD/BBL) Total Intake (KBD)
ULG
95
- D
B
Die
sel -
DB
FO -
DB
-7% YoY -5% QoQ
+25% YoY +13% QoQ
-58% YoY -61% QoQ
+2% YoY +0% QoQ
83% 103% 102% 103% 103% 102% 102%
CDU U-Rate
+2% YoY -0% QoQ
6.02 6.11 8.08
6.76 6.15 5.32 6.74
0.72
(1.59)
0.86 3.38
(0.01)
1.10 0.84 0.02 0.03
(0.04) (2.84)
(0.10)
(0.61) (0.70)
6.76
4.55
8.90
7.30 6.04 5.89
6.88
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Market GRM Stock Gain/(Loss) Net NRV
Hedging Gain/(Loss) Accounting GRM
147.9 149.5 149.7 148.1 147.7 120.9
148.8
30.5 28.9 32.3 34.3 34.4
28.7
31.5
178.4 178.4 182.0 182.4 182.1
149.6
180.3
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Crude Condenstate Residue
10% 8% 8% 7% 9% 10% 8%
13% 13% 14% 15% 15% 14% 14%
51% 52% 57% 57% 51% 52% 55%
13% 12% 11% 12% 14% 13% 12%
13% 15% 10% 8% 9% 10% 12%
173 180 170 175 176 149 175
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Others Fuel Oil Diesel Jet Naphtha+Ref.
14.8 14.2 16.1 14.4 13.7 14.9 14.9
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
11.8 11.4 13.9 13.0 14.8 10.8 12.5
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
420 383 360 356 381 410 380
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
458 338 320 311 318 395 357
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Aromatics Performance
30
Aromatics Products Prices and Spread (USD/Ton)
BTX U-Rate (%)
Aromatics Sales Volume (KTons)
PX
FEC
P -
Co
nd
BZ
Spo
t -
Co
nd
Products to Feed Margin (USD/Ton BTX)
-31% YoY +2% QoQ
-9% YoY +6% QoQ
+24% YoY -3% QoQ
78%
82%
82%
93% 91%
82% 80%
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
321
212 185 194
166 185 226
6.50
(15.93)
31.18
0.13 33
14
0.00
0.00 1.54 3.33
0.21
0.10 1.34
327
196 215 228
167
218 241
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Market P2F Stock Gain/(Loss) Net NRV
Hedging Gain/(Loss) Accounting P2F
6% 6% 6% 9% 11% 10% 7%
31% 34% 24%
29% 29% 29% 30%
39% 35% 42%
39% 36% 37% 39%
24% 25% 28% 23% 24% 23% 25%
758 728 730 967 939 3,455 3,183
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Other By-Products Naphtha Group PX Group BZ Group
Olefins and Derivatives Performance
31
Olefins Prices and Spread (USD/Ton)
Olefins U-Rate (%) Olefins Adjusted EBITDA Margin
MEG
– 0
.65
Eth
y Pro
du
ct P
rice
Bu
tad
ien
e P
rice
-10% YoY +18% QoQ
-48% YoY +22% QoQ
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Olefins 95% 89% 96% 103% 101% 90% 96%
HDPE 120% 114% 110% 119% 107% 106% 116%
LLDPE 106% 83% 117% 115% 99% 93% 105%
LDPE 118% 125% 118% 106% 108% 101% 117%
Total PE 116% 108% 113% 115% 105% 102% 113%
MEG 67% 90% 111% 110% 111% 95% 94%
1,090 990 1,090
1,195 1,244
1,037
1,091 1,176 1,133
791 828
987
704
824
1,215 1,158 1,138 1,225
1,379
1,132
1,168
1,078
940 980
1,060 1,142
783
1,015
499 446 468 570 581
398 496
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
HDPE (FILM) SEA LLDPE CFR SEA LDPE CFR SE Asia
MEG ACP Naphtha MOPJ
2,545
1,094 1,165 1,076 1,310 1,127
1,470
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
370 296 271 283 333
109 305
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
32%
26% 28% 29%
32%
25%
29%
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
56% 57% 53% 54% 55% 56% 55%
23% 23% 25% 26% 25% 24% 24%
20% 20% 22% 20% 20% 21% 20%
401 405 435 421 414 1,524 1,662
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
HDPE LLDPE LDPE
Olefins and Derivatives Performance
32
Olefins Intake (Ktons)
PE Sales Volume (Ktons)
Olefins Sales Volume (Ktons)
MEG Sales Volume (Ktons)
+8% YoY -3% QoQ
+3% YoY -2% QoQ
-18% YoY -7% QoQ
+25% YoY +9% QoQ
95% 89% 96% 103% 101% 90% 96%
Olefins U-Rate
67% 90% 111% 110% 111% 95% 94%
MEG U-Rate
88 101 117 119 110
424 426
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
149 131 130 152 122
622 562
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
PE U-Rate
116% 108% 113% 115% 105% 102% 113%
61% 67% 53% 57% 56% 55% 59%
28% 24%
28% 32% 33% 34% 28%
12% 9% 19% 11% 11% 11% 13%
981 900 1,026 1,098 1,053 3,805 4,004
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Ethane Other Gas Naphtha
Phenol Performance
33
Phenol/ BPA Prices and Spread (USD/Ton)
Phenol U-Rate
Phenol Sales Volume (KTons)
Phenol Adjusted EBITDA Margin
BP
A-P
hen
ol
Ph
eno
l-B
Z +33% YoY
+5% QoQ
U-Rate Q1/17 Q2/17 Q3/17 Q4/17 Q1/18
2016 2017
Phenol 84% 101% 114% 115% 118%
121% 104%
BPA 118% 116% 99% 108% 114%
103% 110%
39% 36% 27% 29% 30%
39% 32%
61% 64% 73% 71% 70%
61% 68%
109 121 141 138 145 404 509
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
BPA Phenol
95 91 120
288 370
179 149
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
301 322 307 261 392
243 298
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
+290% YoY +28% QoQ
+30% YoY +50% QoQ
11%
7% 9%
17% 18%
13% 12%
Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 2016 2017
Thank You
34
1 Thitipong Jurapornsiridee VP-Corporate Finance & IR [email protected] +662-265-8574
2 Jittasak Soonthornpan IR Manager [email protected] +662-265-8172
3 Nattchanon Chawinsittangkul IR Analyst [email protected] +662-265-8364
4 Pantaree Nantanakom IR Analyst [email protected] +662-140-8714
5 Jinthip Prakobwit IR Analyst [email protected] +662-265-8361
6 Preeyapa Asarangchai IR Analyst [email protected] +662-265-8213
