São Paulo, Brazil, March 28, 2018 - BRASKEM S.A. (B3: BRKM3, BRKM5 and BRKM6; NYSE: BAK; LATIBEX: XBRK) announces today its results for 4Q17 and 2017.
- In 4Q17, EBITDA amounted to US$911 million, up 5% from 3Q17 and 25% from 4Q16, explained by sales volume growth and the improvement in chemicals spreads in the international market, PP spreads in the United States and Europe and PE spreads in Mexico.
- In 2017, consolidated EBITDA was US$3,872 million, a new record for the Company and 17% higher than in 2016.
- Consolidated net income in 4Q17 was R$313 million and net income of R$386 million in the Parent Company. In 2017, consolidated net income amounted to R$4,083 million, corresponding to earnings of R$5.12 per common share and per class "A" preferred share.
- In the year, free cash flow was R$2,460 million.
- Financial leverage in U.S. dollar stood at 1.91x at the end of 2017.
- Demand for resins (PE, PP and PVC): 1.3 million tons in 4Q17, down 4% from 3Q17. In the year, resin demand was 5.1 million tons, growing 4% from 2016.
- Resin sales amounted to 892 kton in 4Q17, decreasing 2% from 3Q17. In the year, sales volume in the Brazilian market came to 3.5 million tons, growing 4% from 2016 and setting a new record for PE sales volume.
- Market share stood at 70% in 4Q17 and 69% in 2017.
- In 4Q17, the average cracker capacity utilization rate was 95%, increasing 3 p.p. from 3Q17. In the year, the average cracker capacity utilization rate was 94%, up 2 p.p. from 2016, supporting record-high production of ethylene, butadiene and gasoline.
- In 4Q17, the Company exported 339 kton of resins, representing a decrease of 18% compared to 4Q16. In the year, resin exports amounted to 1.5 million tons, down 11% from 2016.
- In 4Q17, the units in Brazil posted EBITDA of R$1,952 million. In the year, EBITDA came to R$8,675 million, which corresponds to 68% of consolidated EBITDA.
United States and Europe:
- In 4Q17, the average capacity utilization rate stood at 99%, increasing 3 p.p. from 4Q16. In 2017, the average capacity utilization rate was 97%, down 3 p.p. from 2016.
- The units in the United States and Europe posted EBITDA of US$175 million in 4Q17 and US$647 million in 2017, corresponding to 16% of the Company's consolidated EBITDA.
- Construction of the new PP plant in the United States reached 9% completion in 2017, with investment of US$172 million already disbursed.
- In 4Q17, the PE plants operated at an average capacity utilization of 86%, down 1 p.p. from 3Q17. In 2017, the average capacity utilization rate was 88%, increasing 46 p.p. from 2016.
- In the quarter, PE sales in the local market amounted to 144 kton, down 6% from 3Q17. In the year, PE sales in the local market came to 551 kton.
- EBITDA from the Mexico unit was US$174 million in 4Q17 and US$623 million in the year, corresponding to 16% of the Company's consolidated EBITDA.
To access the full Earnings Release, click here .
Braskem will host the conference call to discuss its Results today, March 29, at 10:00 a.m. US ET.