Malmo, Sweden – Sales in Perstorp's specialty polyols & solutions business fell by 10% between the third quarters of 2018 and 2019 to SEK 1.6bn ($165m). This compares with SEK 1.7bn in the third quarter of 2018.
Q3 sales down EBITDA up in Perstorp's polyols business
Secher: trade wars hit performance
Sales were hit by weaker demand for the company's Neo and TMP products in the EMEA and APAC regions, the company said. These products also came under pricing pressure during the quarter.
EBITDA in the division increased by 24% to SEK 296m in the third quarter of 2019. This compares with SEK 239m in the 2018 period.
Perstorp said the EBITDA increase was driven by improved margins for most product lines. Lower fixed costs and positive exchange rate effects also helped, but this was offset by lower volumes on TMP and Neo and lower margins on Neo.
Across the whole company, Perstorp generated third quarter sales of SEK 2.9bn, 5% lower than the same period in 2018. EBITDA across the business rose by 10% to SEK 375m in the third quarter of 2018.
Jan Secher, Perstorp's president, blamed the declines on the continued slowdown in the world economy. This was made worse by the trade war between the US and China forcing Chinese producers to look for markets in south-east Asia and Europe. This reduced demand and pushed prices down in several areas, he added.
Currency conversion: XE.com
