The 2017 season is Penang's 97th competitive season, 2nd consecutive season in the top flight of Malaysian football. Penang will also participate in the Malaysia FA Cup. The season covers the period from 1 January 2017 to 30 November 2017.

On 28 November, Ashley Westwood was unveiled as the new head coach of Penang, signing a two-year contract. On 30 November, Penang received RM 4 millions allocation from the state government.

On 1 December, Penang confirmed that Legea will be the official kit manufacturer for three years from 2017. On 5 December, Penang announced it had retained 16 players from last season. On 22 December, it was announced that on the FA Cup second round, Penang will play at away against MPKB-BRI U-BeS F.C.. On 30 December, it was announced that on the opening day, Penang will kick-off the season at away against Selangor.

Penang won its first pre-season match, against Felcra F.C., which ended in a 2–0 victory. In the following match four days later, Penang won 2–1 against PDRM. On 9 January, Mohd Faiz Subri won the 2016 FIFA Puskás Award, becoming the first Asian to win the award. On 13 January, Penang confirmed the signings of Amirul Asyraf Suhaidi, K. Reuben, Yong Kuong Yong, Zulkhairi Zulkeply, Shazalee Ramlee, Nigel Dabinyaba, Diogo Ferreira and Andy Russell. Penang concluded its pre-season campaign with a 0–1 defeat to Nagaworld FC from Cambodia on the same day. On 18 January, Penang completed the signings of Syed Adney and G. Mahathevan, while Elias Sulaiman and Darwira Sazan were released. Penang lost 0–2 in their opening match against Selangor on 21 January at Selayang. On 27 January, Penang lost again in the league campaign against Perak.

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