Jiangxi Black Cat Carbon Black Co., Ltd. has released the financial results for the first quarter of this year.
During the reporting period, Black Cat’s operating revenue surged 72.78% to 1.50 billion yuan; and the net profit attributable to shareholders of the listed company soared 181.25% to 52.6 million yuan.
Boosted by the country’s stricter regulation and rising price of the major raw material, coal tar, the sales prices of the company’s carbon black rose sharply from the same period last year.
Thanks to higher product prices, Black Cat is expected to make profit in the first half of this year. But in the second quarter, the prices of carbon black have fluctuated, and the profitability may decline in comparison with the first quarter.
On the other hand, rising carbon black prices have increased the costs of tire producers.
In the first quarter, tire companies’ costs on carbon black increased 20-30% or so in average.
Black Cat is the largest carbon black producer in China who produced carbon black of 1.03 million tons in 2016, up 3.87%.
