The Formosa Plastics Group’s (台塑集團) four major companies on Monday reported mixed revenues last quarter, with Formosa Petrochemical Corp (台塑石化) and Nan Ya Plastics Corp (南亞塑膠) registering increases, while Formosa Plastics Corp (台塑) and Formosa Chemicals & Fibre Corp (台灣化學纖維) saw decreases.
Formosa Petrochemical, the nation’s only listed oil refiner, reported revenue of NT$235.79 billion (US$7.98 billion), up 17.61 percent from NT$200.48 billion the previous quarter and 10.62 percent from NT$213.13 billion a year ago, the company said in a filing to the Taiwan Stock Exchange.
“The main reason behind the increases was because fewer of our oil refinery facilities were under maintenance last quarter compared with a quarter ago and a year ago,” company vice president Lin Keh-yen (林克彥) said by telephone yesterday.
OIL PRODUCTION
Average daily oil production last quarter was 465,000 barrels a day, up from 376,000 barrels a day a quarter ago and 455,000 barrels the previous year, Lin said.
Oil prices last quarter were also higher than the previous quarter, but were about the same as a year ago, Lin said.
As for petrochemical products, Lin said market sentiment was low both this year and a year ago, but sales of its petrochemical products still registered annual and quarterly increases.
Lin said the company expects its oil production to further increase this quarter as one of its factories completes its annual maintenance next month and oil prices are likely to increase with the onset of winter.
Nan Ya Plastics, the nation’s largest plastics maker, saw revenue increase 11.18 percent to NT$82.31 billion from NT$74.03 billion a quarter ago due to higher utilization rates and improved market sentiment, the company said in a stock exchange filing. The figure last quarter was also 9.67 percent higher than the NT$75.05 billion it reported a year ago.
Nan Ya Plastics chairman Wu Chia-chau (吳嘉昭) said the company’s ethylene glycol factory was closed for maintenance and sales of petrochemical products were affected by low market sentiment in the second quarter.
CAUTIOUS
Wu said he remained cautious about prospects this quarter, with utilization rates likely remaining high, but sales may drop compared with this quarter — the peak season for the company.
Formosa Plastics, the nation’s largest producer of polyvinyl chloride, registered revenue of NT$53.14 billion, down 5.6 percent from NT$56.29 billion a quarter ago, it said in a filing. The figure was 10.55 percent higher than NT$48.07 billion a year ago.
Formosa Chemicals & Fibre, which produces aromatics and styrenics, saw its revenue drop 0.88 percent to NT$111.99 billion from NT$112.98 billion a quarter ago, it said in a filing. However, it was up 22.77 percent from NT$91.22 billion a year ago.
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