COLOGNE, Germany—Third quarter sales at Arlanxeo, the 50/50 synthetic rubber JV between Lanxess A.G. and Saudi Aramco, increased by around 6 percent year-on-year to $843.5 million.
However, according to Lanxess' financial report, earnings (EBITDA pre exceptionals) at Arlanxeo came in 17 percent lower than in the same quarter of last year, dropping to at $89.4 million.
"The decline in earnings was due to the significant volatility of raw material prices and a weak U.S. dollar," the Cologne-based group explained.
The synthetic-rubber returns were in sharp contrast to Lanxess' overall performance, the group said, declaring itself on course for its highest ever earnings.
Third quarter sales for parent company Lanxess increased by 25.1 percent year-on-year to $2.8 billion, while earnings (EBITDA pre exceptionals) rose 35 percent to $408 million.
The gains included contributions from the acquired Chemtura businesses as well as higher volumes, Lanxess said.
"Our clear strategic focus on high-margin specialty chemicals is increasingly paying off, and in operational terms we are performing very well in our new setup," Lanxess CEO Matthias Zachert said.