ERJ staff report (DS)
Boston Massachussetts - Cabot Corp has reported its results for the three and six months ended 31 March 2011. At group level, the company saw revenues for the most recent quarter increase by ?? percent to $791 million (euro ?? ), compared with $712 in the same quarter a year ago.
in the Rubber Blacks Business, Cabot said volumes in China increased by 4 percent, while volumes in North America increased by 1 percent and those in South America were flat. Volumes in Southeast Asia decreased by 16 percent due to capacity closures in fiscal 2010, while those in the Europe, Middle East and Africa region declined by 6 percent. Volumes in Japan were down 3 percent due to power and logistical constraints related to the earthquake and tsunami.
Sequentially, global volumes were 3 percent lower principally as a result of the Chinese New Year holiday and the effect of earthquake related disruptions in the Japanese market.
Revenues in the rubber blacks unit for the three months increased to $515 million, compared with $446 million a year earlier. Ebit increased by $12 million when compared to the same quarter of fiscal 2010. The increase was driven principally by higher unit margins from higher prices, a favorable product mix and energy center benefits. During the quarter the Rubber Blacks business also recognised $3 million of milestone payment revenue from its CEC new business development activities.
Commenting on the results, Patrick Prevost, Cabot's President and CEO, said â€œNow that we have successfully re-positioned the company at a higher level of profitability we believe we are poised for growth, which is the next phase of our long-term plan. Several weeks ago, we announced a $180 million expansion of our global carbon black capacity that will complement ongoing fumed silica and masterbatch investments. Beyond that, we are continuing to invest in process and product technology across the portfolio and are seeing strong revenue performance in the New Business Segment
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Press release from Cabot