Titan Chemicals Corp Bhd posted a lower net profit of RM105.73 mln in Q1-10, ended March 31, from RM130.16 mln it reported a year ago due to the higher price of naphtha which squeezed gross margins and profit. Revenue for the quarter was 48% higher at RM1.67 bln against RM1.13 bln in the previous corresponding period. The 48% jump in revenue mainly to increases in the average selling price of polyolefin products by 48% and olefin and derivative products by 129%.
Managing Director Warren W. Wilder said Titan expected its performance for the rest of the year to remain profitable. In view of the improved economic climate, South-East Asia’s demand for polyolefins products for this year is expected to be stable and this would help improve the company’s profit. The company would strive to continuously optimise its production and extend its market reach in the domestic market and Indonesia via cross-supply of products and product synergies between its plants in the two countries.