Northfield, Illinois - Stepan Co.'s net income for the third quarter of 2011 was $19.2 million, representing no change in income from 2010. Year-to-date income rose three percent to $58.8 million, compared to $56.9 million in 2010.
Net sales for Q3 were $499.3 million, up 36 percent year-on-year. For the nine months ended 30 Sept, net sales were $1400 million, up 31 percent from 2010.
Net sales in the polymer business were $120 million for the quarter, up 31 percent from 2010. For the year-to-date, net sales were $327 million, an increase of 33 percent from the previous year.
Polymer sales volume rose 10 percent for the quarter. This was due to the 16 percent increase in polyol volume, Stepan said in its 19 Oct report.
Polymer gross profit increased by 15 percent to $17.2 million. However, Stepan said this was adversely affected by fire damage at the company's polyol reactor in Wesseling, Germany, which led to $1.8 million being spent to supply polyol from the US to Europe. The company said repairs should be completed during November.
Stepan predicted that global polyol volume to benefit from recommendations to use higher insulation levels to reduce energy consumption. The company added in the report that it expects its polyol supply chain cost to decrease as it uses its expanded capacity in Germany.