MOSCOW (MRC) -- Mexichem, Mexican PVC and specialty chemicals maker, has announced its unaudited results for the 2Q16. Reported EBITDA including USD286 million in one-time charges (USD244 million non-cash) related to PMV?s VCM plant, was negative USD29 million. Adjusted EBITDA which excludes this effect was USD256 million, as per BusinessWire.
The company's consolidated Adjusted EBITDA margin expanded over 46 bps to 17.9%, reflecting significantly higher margins in: Vinyl: Resins, Compounds and Derivatives EBITDA margin rebounded by 120 bps to 15.0%.
Net majority loss including the one-time charges of was USD33 million; adjusted net majority income increased 34% to USD86 million, representing an adjusted ROE of 6.2% and an adjusted ROIC of 6.3%.
On a constant currency basis, total sales and adjusted EBITDA would have been USD45 million and USD15 million higher, respectively.
Company on track to reach guidance of approximately USD900 Million in EBITDA for 2016.
Mexichem's H1 2016 financial and operating results are as follows: reported EBITDA including USD286 million in one-time charges (USD244 million non-cash) related to PMV?s VCM plant was USD171 million; adjusted EBITDA was SD457 million; net majority income was USD18 million, and adjusted net majority income increased by 65% to USD137 million; on a constant currency basis, total sales and adjusted EBITDA would have been USD167 million and USD43 million higher, respectively.
As MRC informed earlier, Mexichem completed the acquisition of Vestolit GmbH on 1 December 2014. Mexichem completed the acquisition after receiving all relevant regulatory approvals. Vestolit was acquired from funds managed by Strategic Value Partners LLC for a total purchase price of EUR219 million in cash and assumed liabilities.
Mexichem, of Tlalnepantla, an industrial municipality close to Mexico City, is Latin AmericaпїЅs largest manufacturer of PVC pipe, vinyl resins and compounds. The company has annual revenues of more than USD5 billion and has been listed on the Mexican Stock Exchange for more than 30 years.
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