August 5, 2020

Tosoh Reports First-Quarter Consolidated Results for Fiscal 2021

August 03, 2020 –

Tokyo, Japan— Tosoh Corporation is pleased to announce its consolidated results for the first quarter of fiscal 2021, from April 1, 2020, to June 30, 2020. The company’s consolidated net sales totaled ¥156.5 billion (US$1.4 billion), down ¥36.3 billion, or 18.8%, compared with consolidated net sales in the first quarter of fiscal 2020. The decrease was attributable to a global-scale contraction in demand caused by the spread of coronavirus infection, which led to sudden decreases in naphtha prices and deterioration in overseas market conditions.

Operating income also decreased, ¥17.0 billion, compared with operating income in the same period the preceding year, resulting in a loss of ¥900 million (US$8.4 million). The decrease resulted from the worsening trade conditions, which included a decline in sales volume and sales prices that exceeded the effect of decreasing raw fuel prices. Despite a decrease in foreign exchange losses, ordinary income fell ¥15.9 billion compared with ordinary income for the first quarter of fiscal 2020, resulting in a loss of ¥500 million (US$4.6 million). And net profit attributable to owners of the parent company decreased ¥11.1 billion, resulting in a loss of ¥2.0 billion (US$18.6 million).

During the first quarter of fiscal 2021 (April 1, 2020 to June 30, 2020), the Japanese economy has been impacted by the spread of coronavirus infection. Economic and social activity has been restricted, personal consumption and exports plunged suddenly, and employment conditions and capital spending have weakened. The impact of the coronavirus has also affected the global economy, pushing it rapidly toward a recession. As it is extremely difficult to predict when the situation will begin to normalize, there are concerns over potentially prolonged economic stagnation on a global scale.

Results by business segment

Petrochemical Group

Petrochemical Group net sales fell ¥18.8 billion, or 44.6%, to ¥23.4 billion yen (US$217.5 million), in the first quarter of fiscal 2021, compared with group net sales in the first quarter of fiscal 2020. Operating income likewise declined, ¥5.9 billion, resulting in a loss of ¥3.1 billion (US$28.8 million).

Shipments of olefin products, such as ethylene and propylene, decreased in line with scheduled maintenance. Shipments were also affected by decreased demand—particularly for cumene—due to the impact of the spread of coronavirus infection. And product prices also fell, reflecting decreased prices for raw materials such as naphtha and declining overseas product market conditions.

Both domestic and export shipments of polyethylene resin decreased in line with falling demand caused by the spread of the coronavirus. And product prices decreased, reflecting lower prices for naphtha. Exports of chloroprene rubber, particularly to Asia, decreased due to demand being suppressed by the spread of the coronavirus.

Chlor-alkali Group

The Chlor-alkali Group’s first-quarter 2021 net sales decreased ¥14.7 billion, or 20.3%, to ¥57.5 billion (US$534.4 million). The group’s operating income also fell, ¥8.4 billion, resulting in a loss of ¥4.9 billion (US$45.5 million).

Shipments—primarily exports—of caustic soda increased in line with increased production. Product prices declined, reflecting the worsening of overseas market conditions. Vinyl chloride monomer (VCM) shipments rose due to an increase in production. Domestic and export shipments of polyvinyl chloride (PVC), with demand falling due to the spread of the coronavirus, decreased. And PVC product prices decreased, reflecting falling naphtha prices and deteriorating market conditions overseas.

Shipments of cement decreased as domestic demand remained sluggish.

Domestic and export shipments of methylene diphenyl diisocyanate (MDI) were driven downward by reduced production volume and a decline in demand caused by the coronavirus. And worsening overseas market conditions caused a drop in product prices. Both domestic and export shipments of hexamethylene diisocyanate (HDI) hardener, which is used primarily in urethane paints, decreased in line with flagging demand resulting from the spread of infection from the coronavirus.

Specialty Group

First-quarter fiscal 2021 net sales by the Specialty Group decreased ¥1.9 billion, or 4.2%, to ¥44.7 billion (US$415.4 million), compared with group net sales in the same period of the previous fiscal year. The group’s operating income, too, decreased, ¥2.0 billion to ¥4.9 billion (US$45.5 million).

Both domestic and export shipments of ethyleneamines decreased in line with sluggish demand caused by the spread of coronavirus infection.

https://www.tosoh.com/news-press/news-releases/2020/tosoh-reports-first-quarter-consolidated-results-for-fiscal-2021tosoh%20reports%20first-quarter%20consolidated%20results%20for%20fiscal%202021

August 5, 2020

Tosoh Quarterly Results

Tosoh Reports First-Quarter Consolidated Results for Fiscal 2021

August 03, 2020 –

Tokyo, Japan— Tosoh Corporation is pleased to announce its consolidated results for the first quarter of fiscal 2021, from April 1, 2020, to June 30, 2020. The company’s consolidated net sales totaled ¥156.5 billion (US$1.4 billion), down ¥36.3 billion, or 18.8%, compared with consolidated net sales in the first quarter of fiscal 2020. The decrease was attributable to a global-scale contraction in demand caused by the spread of coronavirus infection, which led to sudden decreases in naphtha prices and deterioration in overseas market conditions.

Operating income also decreased, ¥17.0 billion, compared with operating income in the same period the preceding year, resulting in a loss of ¥900 million (US$8.4 million). The decrease resulted from the worsening trade conditions, which included a decline in sales volume and sales prices that exceeded the effect of decreasing raw fuel prices. Despite a decrease in foreign exchange losses, ordinary income fell ¥15.9 billion compared with ordinary income for the first quarter of fiscal 2020, resulting in a loss of ¥500 million (US$4.6 million). And net profit attributable to owners of the parent company decreased ¥11.1 billion, resulting in a loss of ¥2.0 billion (US$18.6 million).

During the first quarter of fiscal 2021 (April 1, 2020 to June 30, 2020), the Japanese economy has been impacted by the spread of coronavirus infection. Economic and social activity has been restricted, personal consumption and exports plunged suddenly, and employment conditions and capital spending have weakened. The impact of the coronavirus has also affected the global economy, pushing it rapidly toward a recession. As it is extremely difficult to predict when the situation will begin to normalize, there are concerns over potentially prolonged economic stagnation on a global scale.

Results by business segment

Petrochemical Group

Petrochemical Group net sales fell ¥18.8 billion, or 44.6%, to ¥23.4 billion yen (US$217.5 million), in the first quarter of fiscal 2021, compared with group net sales in the first quarter of fiscal 2020. Operating income likewise declined, ¥5.9 billion, resulting in a loss of ¥3.1 billion (US$28.8 million).

Shipments of olefin products, such as ethylene and propylene, decreased in line with scheduled maintenance. Shipments were also affected by decreased demand—particularly for cumene—due to the impact of the spread of coronavirus infection. And product prices also fell, reflecting decreased prices for raw materials such as naphtha and declining overseas product market conditions.

Both domestic and export shipments of polyethylene resin decreased in line with falling demand caused by the spread of the coronavirus. And product prices decreased, reflecting lower prices for naphtha. Exports of chloroprene rubber, particularly to Asia, decreased due to demand being suppressed by the spread of the coronavirus.

Chlor-alkali Group

The Chlor-alkali Group’s first-quarter 2021 net sales decreased ¥14.7 billion, or 20.3%, to ¥57.5 billion (US$534.4 million). The group’s operating income also fell, ¥8.4 billion, resulting in a loss of ¥4.9 billion (US$45.5 million).

Shipments—primarily exports—of caustic soda increased in line with increased production. Product prices declined, reflecting the worsening of overseas market conditions. Vinyl chloride monomer (VCM) shipments rose due to an increase in production. Domestic and export shipments of polyvinyl chloride (PVC), with demand falling due to the spread of the coronavirus, decreased. And PVC product prices decreased, reflecting falling naphtha prices and deteriorating market conditions overseas.

Shipments of cement decreased as domestic demand remained sluggish.

Domestic and export shipments of methylene diphenyl diisocyanate (MDI) were driven downward by reduced production volume and a decline in demand caused by the coronavirus. And worsening overseas market conditions caused a drop in product prices. Both domestic and export shipments of hexamethylene diisocyanate (HDI) hardener, which is used primarily in urethane paints, decreased in line with flagging demand resulting from the spread of infection from the coronavirus.

Specialty Group

First-quarter fiscal 2021 net sales by the Specialty Group decreased ¥1.9 billion, or 4.2%, to ¥44.7 billion (US$415.4 million), compared with group net sales in the same period of the previous fiscal year. The group’s operating income, too, decreased, ¥2.0 billion to ¥4.9 billion (US$45.5 million).

Both domestic and export shipments of ethyleneamines decreased in line with sluggish demand caused by the spread of coronavirus infection.

https://www.tosoh.com/news-press/news-releases/2020/tosoh-reports-first-quarter-consolidated-results-for-fiscal-2021tosoh%20reports%20first-quarter%20consolidated%20results%20for%20fiscal%202021

August 4, 2020

Wanhua Forms Shipping JV

ADNOC L&S And Wanhua Chemical Group Form Strategic Shipping Joint Venture

Faizan Hashmi 4 hours ago Tue 04th August 2020 | 03:15 PM

ABU DHABI, (UrduPoint / Pakistan Point News / WAM – 04th Aug, 2020) ADNOC Logistics and Services, the shipping and maritime logistics subsidiary of the Abu Dhabi National Oil Company, ADNOC, announced today the formation of a new strategic joint venture with Wanhua Chemical Group. The new company named AW Shipping Limited is incorporated in Abu Dhabi Global Market.

This strategic agreement further strengthens the collaboration between ADNOC and Chinese companies and builds on the deep-rooted bilateral relations between China and the UAE. The joint venture underscores ADNOC’s focus on value-creating deals and will support the delivery of its 2030 smart growth strategy.

AW Shipping Limited will own and operate a fleet of very large gas carriers, VLGCs, and modern product tankers. The company will be responsible for transporting liquefied petroleum gas, LPG, cargoes and other petroleum products, sourced from the ADNOC Group and global suppliers, to Wanhua Group’s manufacturing bases in China and around the world. To deliver maximum fleet efficiency, the company may also pursue other market opportunities.

Dr. Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology and ADNOC Group CEO, said, “We are very pleased to establish this strategic joint venture with Wanhua Chemical Group. This creative win-win partnership strengthens our growing relationship and will deliver greater value and efficiency for both our organizations. Importantly, the JV further solidifies ADNOC L&S’ position as the largest, fully integrated logistics and shipping company in the UAE and paves the way for the transportation of greater LPG volumes to China, in line with market demand.

“The establishment of AW Shipping supports ADNOC’s smart growth and value creation strategy and is another example of how ADNOC is stretching the margin from every molecule that we produce, refine, ship and sell, while also forging stronger partnerships in key growth markets.”

The formation of AW Shipping follows a 10-year LPG supply contract signed between ADNOC and Wanhua in November 2018.

ADNOC L&S is a crucial enabler in the ADNOC value chain, delivering oil, gas, and petroleum products to customers across the world.

It owns and operates the UAE’s largest shipping fleet, which it expects to grow further in the coming years as ADNOC increases its upstream and downstream production capacity, and enters into trading.

Liao Zengtai, Chairman of Wanhua Chemical Group, said, “We are very glad that joint venture has been established with the concerted efforts of both parties. The new company will strengthen the strategic cooperation between ADNOC and Wanhua and will also ensure the stable supply of LPG cargoes and other petroleum products for Wanhua system. More importantly, the cooperation will make contribution to the “One Belt, One Road” project.”

ADNOC L&S was formed in late 2016 from three ADNOC subsidiaries, ADNATCO, IRSHAD, and ESNAAD. The integration created synergies between shipping, marine services, offshore logistics, and onshore logistics to create the largest integrated shipping and maritime logistics company in the GCC. ADNOC L&S provides safe, reliable and cost-competitive maritime and logistic solutions to ADNOC Group companies and to more than 100 global customers.

The company creates value for its customers and partners through four major activities; firstly, shipping activities, either with its own vessels or via chartering, which includes crude and refined products, dry bulk, and LNG transport. Secondly, marine service activities which comprise petroleum port operations, diving, and oil spill response. Thirdly, offshore logistics activities that include offshore support vessels and an integrated logistics base in Mussafah, Abu Dhabi, one of the largest in the region. Finally, onshore activities which consist of a marine passenger terminal and a container terminal.

Last year, ADNOC L&S transported over 20 million metric tonnes of various oil & gas products and dry bulk commodities.

Wanhua Group is one of the world‘s leading producers for methylene diphenyl diisocyanate a key ingredient in the manufacture of high-performance adhesives and synthetic fibers, which go into a wide range of industries.

https://www.urdupoint.com/en/middle-east/adnoc-lamps-and-wanhua-chemical-group-form-992341.html