Boston, Masachusetts – Cabot Corp. has reported first quarter results “in line with prior year” at its Reinforcement Materials segment, which supplies carbon blacks.
The quarter ended 31 Dec 2018 saw “successful completion of calendar year 2019 tire customer agreements with volume and price gains in all regions.”
However, president and CEO Sean Keohane also reported “softer automotive demand, customer inventory destocking and a weaker environment in China.”
Global reinforcement materials volumes edged up 1% year-on-year, as increases of 3% in both Asia and the Americas offset an 8% decline in EMEA, Cabot reported 4 Feb
Higher volumes and improved pricing and product mix from our 2018 tire customer agreements were offset by lower margins in China, it added.
Earnings (EBITDA) at Reinforcement Materials fell by 1.3% to $78 million, while EBITDA margins lost three percentage points: falling to 17% for the quarter.