Yantai, Shandong – Wanhua had CNY48.5bn ($6.9bn) revenue over the first nine months in 2019. This is down 12.5% compared with the 2018 figure. Nine-month net profit subsided by 41.8% to CNY7.9bn
‘This is due to a significant year-on-year drop in price of MDI, the company’s main product,’ said its Q3 report.
Wanhua’s monomeric MDI and polymeric MDI prices in 2019 were both down from 2018. For instance monomeric MDI price in September was 30% lower compared with a year ago; polymeric MDI price was down 22.5%.
During the first three quarters Wanhua produced 1.98m tonne of polyurethane-related products and sold 1.96m tonne. PU related goods generated 50% of its total revenue.
Its petrochemical business and fine chemical and new materials business brought in 26% and 10% revenue respectively.
‘The third quarter saw a distinctive rebound in petrochemical product price but it’s still significantly lower compared with Q3 2018,’ said the report.
Falling MDI price cuts down Wanhua’s nine-month performance
