Beijing, China – Comens New Materials, which makes polyurethane adhesives, posted CNY 84m ($12m) annual net profit in 2018, up by 93% from 2017.
PU adhesives maker Comens doubles annual profit
Revenue last year jumped 19% to CNY 1bn, according to the company’s annual report released in April.
The sharper increase in profit was caused by drop in raw material prices, withdrawal from less profitable businesses such as solar backsheets. Consolidating of auto rubber seal maker Huasen Rubber and Plastics into the results helped, said the company.
The PU adhesives business, accounting for nearly two-thirds of Comens’ total revenue, had a 23% gross profit margin. This is 3% higher than that in 2017.
The company launched a range of new products last year. These include a solvent-free PU adhesive for cast unoriented polypropylene (CPP) and biaxially oriented polypropylene (BOPP) films.
In 2019 Comens said it will put greater efforts in new materials for strategic downstream sectors. These include semiconductors, integrated circuits and automotive applications, said the company.