Home / Knowledge / News / Textiles / Westlake posts record quarterly income from operations
Westlake posts record quarterly income from operations
09
Aug '14
NYSE-listed Westlake Chemical Corporation posted a record quarterly income from operations of $266.8 million in the second quarter of 2014, up 13% from second quarter of 2013.

Net income for the second quarter of 2014 was $169.4 million, or $1.26 per diluted share, on net sales of $998.6 million, a rise of $23.6 million, or $0.17 per diluted share, compared to net income of $145.8 million, or $1.09 per diluted share, on net sales of $939.0 million in the corresponding quarter of 2013.

Net sales for the second quarter of 2014 increased by $59.6 million compared to net sales for the second quarter of 2013, which Westlake mainly attributed to higher sales prices for most of its major Olefins products and higher sales volumes for polyethylene, styrene and caustic soda.

The higher prices were partially offset by lower sales volumes for PVC resin and ethylene co-products due to the Calvert City complex plan maintenance turnaround in the first quarter and the ethylene plant conversion from propane to ethane feedstock, both of which extended into the second quarter of 2014, respectively.

Income from operations was $266.8 million for the second quarter of 2014 as compared to $235.2 million for the second quarter of 2013. Income from operations for the second quarter of 2014 benefited primarily from improved olefins integrated product margins, as higher sales prices more than offset the increase in feedstock and energy costs, and higher olefins sales volumes.

The second quarter 2014 income from operations was negatively impacted by higher cost inventory that was produced from propane feedstock in the first quarter of 2014 that flowed through cost of sales in the second quarter.

Costs associated with the first quarter 2014 maintenance turnaround and other activities at Calvert City complex that carried over into the second quarter of 2014 and lower PVC resin sales volume in the second quarter of 2014 as compared to the second quarter of 2013, negatively impacted income from operations.

In addition, the second quarter of 2014 was negatively impacted by an unplanned outage at one of its ethylene units in Lake Charles, Louisiana.

EBITDA (earnings before interest expense, income taxes, depreciation and amortization) of $319.9 million for the second quarter of 2014 rose by $44.6 million compared to $275.3 million in the second quarter of 2013.

Albert Chao, President and Chief Executive Officer, said, "Our second quarter results reflect record quarterly income from operations. We continue to benefit from low cost, ethane-based ethylene production that is the result of North American shale oil and gas production, as well as from the increased ethylene capacity from our recent ethylene expansion projects.”

On August 4, Westlake Chemical completed the initial public offering of Westlake Chemical Partners, LP, a master limited partnership (MLP).

Fibre2fashion News Desk - India


Must ReadView All

Textiles | On 24th Jun 2017

Applied DNA to tag cotton for 2017/18 US ginning season

Applied DNA, provider of DNA-based supply chain security,...

Apparel/Garments | On 24th Jun 2017

NPD Group launches Trend Tracker for apparel trends

Global information company the NPD Group has launched Trend Tracker,...

Textiles | On 24th Jun 2017

Cotton USA’s first innovation competition in UK ends

Cotton USA has announced the successful close to its first innovation ...

Interviews View All

Angelina Francesca Cheang
MY ANJE

'Consumers in the age-group 21 to 38 are driving the activewear trend'

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Evelyne Cholet
UCMTF

‘France had a reputation of being big in new ideas, but poor in marketing...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
June 2017

June 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search