Home / Knowledge / News / Textiles / Driven by Vinnolit, Q3 revenues surge 24.8% at Westlake
Driven by Vinnolit, Q3 revenues surge 24.8% at Westlake
07
Nov '14
Driven by sales from Vinnolit, which it acquired in July 2014 and higher sales prices, revenue at Westlake Chemical surged 24.8% year-on-year in the third quarter ending September 30, 2014.

Third-quarter of 2014 turnover climbed to $1,253.2 million, up $249 million or 24.8% from $1004.2 million, in the corresponding quarter of 2013 at Westlake.

According to Westlake, among many reasons, it is mainly attributable to sales contributed by Vinnolit, which it acquired in July 2014.

Sales also grew from higher sales prices for its major olefins products and PVC resin and higher sales volumes of PVC resin, caustic soda and ethylene, which were however partially offset by lower sales volumes for styrene and ethylene co-products.

Net income in the reporting quarter fell $2.5 million to reach $167.8 million or $1.25 per diluted share, compared with $170.3 million, or $1.27 per diluted share in the third quarter of 2013.

Westlake said, third quarter of 2014, net income was impacted by formation of Westlake Chemical Partners, Vinnolit acquisition-related costs of $21.6 million and several unplanned outages.

Unplanned outages in the quarter at its Calvert City, Kentucky and Geismar, Louisiana facilities resulted in maintenance and other costs of $7.1 million after tax and also loss of sales and margins.

Income from operations improved to a record $306.8 million for the third quarter of 2014 versus $266.6 million from a year ago quarter.

“Income from operations for the third quarter of 2014 benefited primarily from improved olefins and vinyls integrated product margins,” the NYSE-listed chemicals producer explained.

Third quarter of 2014 EBITDA at $358.0 million increased by $51.0 million compared to $307.0 million in the third quarter of 2013.

Net cash provided by operating activities reached $776.1 million in the first nine months of 2014 and capital expenditures in the same period totalled $311.2 million.

During the quarter under review, Westlake raised $286.1 million from the initial public offering of WLKP, and paid $611.1 million, net of cash acquired, for the acquisition of Vinnolit.

As of September 30, 2014, Westlake had cash of $813.5 million and its long-term debt stood at $764.0 million.

CEO Albert Chao said, "Our results were supported by strong performance in our Olefins segment and by record operating income in our Vinyls segment.”

“The improved profitability in Vinyls segment, demonstrates the benefit of recent investments to improve the cost position of our Vinyls assets and feedstock conversion of our Calvert City ethylene unit from propane to ethane feedstock,” he added. (AR)

Fibre2fashion News Desk - India


Must ReadView All

Courtesy: Pyrates Smart Fabrics

Textiles | On 16th Jul 2018

Spain's Pyrates Smart Fabrics targets Asia, S America

Spain-based Pyrates Smart Fabrics, whose major markets are northern...

Bangladesh to modernise 3 jute factories to boost sector

Textiles | On 16th Jul 2018

Bangladesh to modernise 3 jute factories to boost sector

The executive committee of Bangladesh’s National Economic Council...

Courtesy: Asda

Apparel/Garments | On 16th Jul 2018

J Sainsbury agrees to £3.5 bn financing for Asda merger

J Sainsbury plc has agreed for a financing package of £3.5 billion in ...

Interviews View All

Shawn Honeycutt
Bolger & O'Hearn

‘The Indian market is interesting and rather persistent in seeking new...

Headhonchos
Indian textile value chain

'One nation, one tax' is a great concept

Manuj Terapanthi
Texaura

Transparent supply chain and fair trade will boost sustainable market

Himanshu Jariwala

J Korin started as a partnership firm with four powerlooms in the textiles ...

Ashish M Amin

Premier Looms is a leading provider of cutting-edge machinery and...

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Akta Adani
India Boulevard

India Boulevard is a San Francisco-based curated fashion marketplace that...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

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

Leave your Comments


July 2018

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

news category


Related Categories:

Advanced Search