Berwyn, Pennsylvania - Trinseo has reported a 6-percent fall in revenues at its latex business for the second quarter, due mainly to lower raw material costs in Europe and Asia.
However, adjusted EBITDA for the unit, at $21 million, was $6 million above the prior-year figure: reflecting price increases in North America as well as fixed cost reductions.
Synthetic rubber (SR) revenues, meanwhile, fell 3 percent year-on-year to $111 million, on lower raw material costs as well as lower sales volume, particularly in Nickel-PBR. SSBR sales volumes, however, reached the second highest quarter on record.
Also on the plus side, Trinseo said adjusted EBITDA of $30 million was $12 million above prior year. The SR gains were largely driven by an inventory draw and higher maintenance costs in the prior year due to a planned turnaround.
Trinseo has also reported signing a definitive agreement to sell its businesses in Brazil to Qoppar Participacoes Ltda, a holding company that manages industrial and chemical assets in the country, for an undisclosed amount.
The deal includes Trinseo’s latex binders and compounded polypropylene businesses along with a binders manufacturing plant in Guaruja, Brazil, and an automotive parts production facility in Limao, Brazil. Also included are the company’s laboratory assets, customer lists and contracts.
Trinseo said it is expected that all employees at the two plants and the operation’s customer service team would transfer to the new owner.