Yantai, Shandong – Wanhua posted CNY2.8bn ($410m) net profit in H1 2020, down by 49.6% from H1 2019.
Sales during the period dipped 2% year-on-year to CNY30.9bn. Net asset fell 2.5% to CNY41.3bn, according to the company’s half year report in August.
‘The drop in net profit was mainly caused by falling MDI prices as well as lower production and sales due to the pandemic,’ the report said.
Wanhua’s monomeric MDI and polymeric MDI prices in H1 2020 were both down from a year ago. Monomeric MDI in June, for example, showed a 30% decline.
During the half year, Wanhua produced 1.23m tonne of polyurethane-related products, down 9% on the previous year. It sold 1.24m tonne – a 6% drop.
PU-related goods generated 43% of its total revenue. This compares to a 52% share in H1 2019.
Wanhua’s subsidiary BorsodChem recorded CNY306m net profit during the period on CNY5.16bn sales, the report said.
Currency Exchange: XE.com