Kumho Petrochemical SR earnings hit by butadiene prices

Seoul – Kumho Petrochemical has achieved a 16.4% year-on-year rise in third quarter sales to KRW540bn (€351 million), the company announced 2 Nov.

Profits for the three months to 30 Sept declined, due mainly to slow pass-through of higher butadiene costs in product prices, the Korean company reported.

According to Kumho Petrochemical, the period saw a sharp increase in the butadiene prices “due to troubles and regular maintenance in the region.”

The situation then eased towards the end of the quarter, as a downward price-trend took hold on weakening demand.

Citing ICIS and Platts data, the polymer maker said butadiene prices fell to $1,500/tonne in September in Asia, having peaked at $1,720/tonne the month before.

Prices were less volatile in Europe and North America, with a slight month-on-month increase registered in September – at almost $1,640/tonne in North America.

In terms of synthetic rubber prices, SBR prices remained flat at nearly $1,660/tonne in September, down from $1,670 the month before. BR prices, however, stood at $2,100/tonne in September, reaching an 18-month high.