Intelligence Node · AI-09
Daily AI Briefing → Chief of Staff Briefing
LPG feedstock (imported propane/butane) drove 94.3% of FY25 revenue — procurement timing is the single biggest PBT lever.
FY25 COGS RM733.9M vs revenue RM778.6M — gross margin compressed to 5.7%. Propane/butane is bought against global CP (Saudi Aramco Contract Price) benchmarks, then sold domestically into the APM-capped retail price (~RM26.60 per 14kg cylinder). When global CP spikes, NGC absorbs the gap until subsidy reimbursements settle — exactly the dynamic visible in the Aug-25 and Oct-25 loss months.
Secondary procurement: steel cylinders (12M+ in circulation), cylinder reconditioning consumables, GPS/telemetry for the truck fleet, plant safety equipment (leak detectors, carousels), and Solar PV panels / inverters for the C&I solar arm. Working capital is locked in cylinders + subsidy receivables → quick ratio is tight.
Sources · Internal ERP + Bloomberg + AI scrape