Indorama Ventures Limited (IVL) the parent company of Indorama Polymers Plc (IRP) reported a sharp increase in its earnings for the 9-months period ending September 2009 thanks to the company’s exposure to the Pure Terepthalic Acid (PTA) business.
“The performance of IVL has been good because the margins for PTA has remained stable while those for the PET (polyethylene terephthalate) has seen decline during the previous quarter,” Dilip Kumar Agarwal, the chief executive officer of IRP said during the analysts conference to announce the results of IRP’s third quarter and give some indication of IVL’s performance.
IVL which is in the process of buying out IRP from the retail shareholders in a share swap which would see IVL list on the local bourse by Mid-February reported its 9-months net profits of about 4.5 billion baht against 3.5 billion it had seen at the end of June this year.
The 4.5 billion in profits was more than 160% increase from those seen during last year, which the company attributed to the higher ‘integrated spreads’ between the PTA and PET business. The spread for the 9-months ending September for the two businesses stood at $397/tonne against the Asian published spreads of $316/tonne.
As for IRP, which handles only the PET business, the company saw a slight decline in its margins as it has been evident from most Asian operators on the back of seasonal factor and weaker demand. The PET spreads for the quarter stood at $170 against $222 seen during Q2 2009. The third quarter’s spreads in Asia stood at $142/ton.
“Our margins are still better than those of the benchmark industry standards,” Mr. Agarwal said while adding that IRP during the past quarter was slightly ‘aggressive’ in its sales which had caused the margins to decline as well.
He said that the lower margins has meant that the company has managed to increase its market share globally and excluding China the company’s global market share has reached around 13% from blow 10% seen at the start of this year.
“During the fourth quarter we are expecting our spreads to be above $200 per ton,” Mr. Agarwal stressed during questions raised by some analysts on whether the squeezed margins would be the strategy going forward.
This prompted IRP to report a net profit of 239 million baht down from 276 million baht seen during the third quarter of 2008. As for the 9-month operations IRP reported a net profit of 1.58 billion against 933 million baht on sale of 32.85 billion baht against 30.92 billion baht seen during the same period of 2008.
Commenting on the demand side Mr. Agarwal said that there continues to be a shortage of about 1-million ton in the European markets and with many of the incumbent players in not such a strong financial position the situation could further intensify.
He said that IRP and IVL were looking at various options to cater to the European market but none have been very concrete yet to make a formal announcement.
Sunday, November 22, 2009
Thursday, November 12, 2009
Paws for thought
SCAD (formerly known as Soi Dog Rescue) and BNOW (Bangkok Network of Women) are holding a garage sale at New International School of Thailand on Sukhumvit Soi 15 this Saturday from 9.30am-1pm.
Up for grabs at bargain prices will be everything from appliances, and furniture, to kids toys, clothing, books, sports equipment and much more.
Part of the proceeds will be donated to SCAD.
For more information, visit ScadBangkok.org.
For help with directions, call the school Monday through Friday during school hours at (02) 651 2065.
Up for grabs at bargain prices will be everything from appliances, and furniture, to kids toys, clothing, books, sports equipment and much more.
Part of the proceeds will be donated to SCAD.
For more information, visit ScadBangkok.org.
For help with directions, call the school Monday through Friday during school hours at (02) 651 2065.
Magnificent seven
In the most important, most revered event since the invention of the brontosaurus trap,Microsoft shipped the most incredibly fabulous operating system ever made; the release of Windows 7 also spurred a new generation of personal computers of all sizes at prices well below last month's offers.The top reason Windows 7 does not suck: There is no registered website called Windows7Sucks.com
Kindle e-book reader maker Amazon.com and new Nook e-book reader vendor Barnes and Noble got it on; B&N got great reviews for the "Kindle killer"Nook, with dual screens and touch controls so you can "turn" pages, plays MP3s and allows many non-B&N book formats, although not the Kindle one;Amazon then killed the US version of its Kindle in favour of the international one, reduced its price to $260(8,700 baht), same as the Nook; it's not yet clear what you can get in Thailand with a Nook, but you sure can't (yet) get much, relatively speaking, with a Kindle;but here's the biggest difference so far,which Amazon.com has ignored: the Nook lets you lend e-books to any other Nook owner, just as if they were paper books; the borrowed books expire on the borrower's Nook in two weeks.
Phone maker Nokia of Finland announced it is suing iPhone maker Apple of America for being a copycat; lawyers said they figure Nokia can get at least one, probably two per cent (retail) for every iPhone sold by Steve "President for Life" Jobs and crew via the lawsuit,which sure beats working for it -$6 (200 baht) to $12(400 baht) on 30 million phones sold so far, works out to $400 million or 25 percent of the whole Apple empire profits during the last quarter;there were 10 patent thefts, the Finnish executives said, on everything from moving data to security and encryption.
Nokia of Finland announced that it is one month behind on shipping its new flagship N900 phone, the first to run on Linux software; delay of the $750(25,000 baht) phone had absolutely no part in making Nokia so short that it had to sue Apple, slap yourself for such a thought.
Tim Berners-Lee, who created the World Wide Web, said he had one regret:the double slash that follows the "http:"in standard web addresses; he estimated that 14.2 gazillion users have wasted 48.72 bazillion hours typing those two keystrokes, and he's sorry; of course there's no reason to ever type that, since your browser does it for you when you type "www.bangkokpost.com" but Tim needs to admit he made one error in his lifetime.
The International Telecommunication Union of the United Nations, which doesn't sell any phones or services, announced that there should be a mobile phone charger that will work with any phone; now who would ever have thought of that, without a UN body to wind up a major study on the subject?;the GSM Association estimates that 51,000 tonnes of chargers are made each year in order to keep companies able to have their own unique ones.
The Well, Doh Award of the Week was presented at arm's length to the United Nations Conference on Trade and Development; the group's deputy secretary-general Petko Draganov said that developing countries will miss some of the stuff available on the Internet if they don't install more broadband infrastructure; a report that used your tax baht to compile said that quite a few people use mobile phones but companies are more likely to invest in countries with excellent broadband connections; no one ever had thought of this before, right?
Sun Microsystems , as a result of the Oracle takeover, said it will allow 3,000 current workers never to bother coming to work again; Sun referred to the losses as "jobs," not people; now the fourth largest server maker in the world, Sun said it lost $2.2 billion in its last fiscal year; European regulators are holding up approval of the Oracle purchase in the hope of getting some money in exchange for not involving Oracle in court cases.
The multi-gazillionaire and very annoying investor Carl Icahn resigned from the board at Yahoo ; he spun it as a vote of confidence, saying current directors are taking the formerly threatened company seriously; Yahoo reported increased profits but smaller revenues in the third quarter.
The US House of Representatives voted to censure Vietnam for jailing bloggers; the non-binding resolution sponsored by southern California congresswoman Loretta Sanchez said the Internet is "a crucial tool for the citizens of Vietnam to be able to exercise their freedom of expression and association;"Hanoi has recently jailed at least nine activists for up to six years apiece for holding pro-democracy banners. Iran jailed blogger Hossein "Hoder" Derakshan for 10 months - in solitary confinement.
Kindle e-book reader maker Amazon.com and new Nook e-book reader vendor Barnes and Noble got it on; B&N got great reviews for the "Kindle killer"Nook, with dual screens and touch controls so you can "turn" pages, plays MP3s and allows many non-B&N book formats, although not the Kindle one;Amazon then killed the US version of its Kindle in favour of the international one, reduced its price to $260(8,700 baht), same as the Nook; it's not yet clear what you can get in Thailand with a Nook, but you sure can't (yet) get much, relatively speaking, with a Kindle;but here's the biggest difference so far,which Amazon.com has ignored: the Nook lets you lend e-books to any other Nook owner, just as if they were paper books; the borrowed books expire on the borrower's Nook in two weeks.
Phone maker Nokia of Finland announced it is suing iPhone maker Apple of America for being a copycat; lawyers said they figure Nokia can get at least one, probably two per cent (retail) for every iPhone sold by Steve "President for Life" Jobs and crew via the lawsuit,which sure beats working for it -$6 (200 baht) to $12(400 baht) on 30 million phones sold so far, works out to $400 million or 25 percent of the whole Apple empire profits during the last quarter;there were 10 patent thefts, the Finnish executives said, on everything from moving data to security and encryption.
Nokia of Finland announced that it is one month behind on shipping its new flagship N900 phone, the first to run on Linux software; delay of the $750(25,000 baht) phone had absolutely no part in making Nokia so short that it had to sue Apple, slap yourself for such a thought.
Tim Berners-Lee, who created the World Wide Web, said he had one regret:the double slash that follows the "http:"in standard web addresses; he estimated that 14.2 gazillion users have wasted 48.72 bazillion hours typing those two keystrokes, and he's sorry; of course there's no reason to ever type that, since your browser does it for you when you type "www.bangkokpost.com" but Tim needs to admit he made one error in his lifetime.
The International Telecommunication Union of the United Nations, which doesn't sell any phones or services, announced that there should be a mobile phone charger that will work with any phone; now who would ever have thought of that, without a UN body to wind up a major study on the subject?;the GSM Association estimates that 51,000 tonnes of chargers are made each year in order to keep companies able to have their own unique ones.
The Well, Doh Award of the Week was presented at arm's length to the United Nations Conference on Trade and Development; the group's deputy secretary-general Petko Draganov said that developing countries will miss some of the stuff available on the Internet if they don't install more broadband infrastructure; a report that used your tax baht to compile said that quite a few people use mobile phones but companies are more likely to invest in countries with excellent broadband connections; no one ever had thought of this before, right?
Sun Microsystems , as a result of the Oracle takeover, said it will allow 3,000 current workers never to bother coming to work again; Sun referred to the losses as "jobs," not people; now the fourth largest server maker in the world, Sun said it lost $2.2 billion in its last fiscal year; European regulators are holding up approval of the Oracle purchase in the hope of getting some money in exchange for not involving Oracle in court cases.
The multi-gazillionaire and very annoying investor Carl Icahn resigned from the board at Yahoo ; he spun it as a vote of confidence, saying current directors are taking the formerly threatened company seriously; Yahoo reported increased profits but smaller revenues in the third quarter.
The US House of Representatives voted to censure Vietnam for jailing bloggers; the non-binding resolution sponsored by southern California congresswoman Loretta Sanchez said the Internet is "a crucial tool for the citizens of Vietnam to be able to exercise their freedom of expression and association;"Hanoi has recently jailed at least nine activists for up to six years apiece for holding pro-democracy banners. Iran jailed blogger Hossein "Hoder" Derakshan for 10 months - in solitary confinement.
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