04 November 2010 10:27 [Source: ICIS news]
LONDON (ICIS)--Borealis’s third-quarter net profit rose by 14.8% to €54.0m ($76.1m) compared with the same period last year, following an improved performance from the group’s polyolefins business, the Austrian-based plastics producer said on Thursday.
Sales for the third quarter grew 24.1% year on year to €1.59bn, while operating profit rose 37.9% to €80m, Borealis added.
“In 2010 the market recovered more quickly than anticipated, which has a direct positive effect on our results,” said Borealis chief executive Mark Garrett.
Borealis recorded a 2010 second-quarter net profit of €92m, and said the fall in profitability in the third quarter had largely been due to the impact of start-up and turnaround activities.
The company added that feedstock prices had fallen slightly compared with the second quarter of 2010 and that its cracker margins had been affected by turnaround activities.
In September, Borealis brought its 140,000 tonne/year low density polyethylene (LDPE) plant at Schwechat in ?xml:namespace>
In October, the group also restarted its melamine plants at
Borealis said earnings from its polyolefins business had improved as a result of a stabilisation in polyolefin market prices, while its plant nutrient and melamine businesses had delivered improved financial performances, driven by a favourable market environment.
However, Garrett said the world economy was still volatile and the positive trend in the polyolefins business would not be a steady upswing, so the group was continuing to follow market developments closely.
($1 = €0.71)
To discuss issues facing the chemical industry visit ICIS connect
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|