Page 44 - Plastics News March 2017

BUSINESS NEWS

Oricon to set up Rs 100-crore facility Huntsman registers profit but

for packaging products in Odisha Sales down 6%

ricon Enterprises Ltd (OEL), the flagship company ales were down, but profit was up for materials
oof Parijat Enterprises that has been working in Smaker Huntsman Corp. in full-year 2016. According
various segment like in marine logistics, packaging, to reports Total company sales for Huntsman slumped 6
petrochemicals and automobile dealership, will invest percent to less than $9.7 billion in 2016, but the firm’s
Rs 100 crores to build a manufacturing facility in odisha profit soared to $357 million, almost triple its 2015 level.
for packaging products. Huntsman has exited some businesses and closed some
production sites in recent years, partly accounting for
The company has announced to create new facility at an the profit improvement. Sales and pretax profit for full-
investment of Rs. 100 crores in two phases in the State year 2016 were down in the firm’s polyurethanes and
of orissa. This facility will be used to manufacture new advanced materials units. Advanced materials includes
packaging products. The project will be funded from products based on epoxy, acrylics and PU Huntsman
internal accruals. As part of its strategy to consolidate its also is in the process of spinning off its titanium dioxide
presence in the Indian caps & closures market, the company business into a separate firm named Venator. Huntsman
has been adding capability by raising the production.
will retain a 40 percent stake
orientalContainers Ltd, a wholly-own subsidiary of oEL, in the new company.
recently completed expansion of its plastic closures “As I look at the past year, I
manufacturing capacity, which involved investment of Rs am impressed by the quality
35 crores, at Murbad in Maharashtra.
of earnings that our businesses
This expansion has have achieved and how we are
added a capacity of positioned moving into 2017,” President and CEo Peter
1.2 billion closures Huntsman said in a news release. He added that the firm’s
per annum, taking MDI urethanes business “continues to show steady and
the total installed impressive growth and that the advanced materials and
capacity to over 8 textile effects units “have become solid performers.”
billion per annum - Huntsman Corporation reported a profit for fourth quarter
highest in India.
that dropped from last year.
The company recently The company said its earnings came in at $72 million,
raised its plastic closures capacity with investment of Rs or $0.30 per share. This was down from $124 million, or
35 crores at Murbad. Commenting on the new initiatives $0.51 per share, in last year's fourth quarter. Analysts had
and successful completion of Murbad expansion, Rajendra expected the company to earn $0.25 per share, according
Somani, managing director, oricon Enterprises Ltd, figures compiled by Thomson Reuters. Analysts' estimates
said, “We are excited about the opportunities India is typically exclude special items.
presenting in the plastic and packaging space. With
evolving applications in the industry, the caps and closures The company said revenue for the quarter rose 3.0% to
segment is poised to grow significantly in the future.” $2.40 billion. This was up from $2.33 billion last year.
oricon has been at the forefront in this segment and Huntsman Corp. earnings at a glance:
with these initiatives we will strengthen our leadership
position in the Indian plastics and packaging space and Earnings (Q4): $72 Mln. vs. $124 Mln. last year., Earnings
be a preferred supplier to our customers. Acquired in Decline (Y-o-Y): -41.9%, EPS (Q4): $0.30 vs. $0.51 last
1968, oricon Enterprises Ltd. formerly known as oriental year., EPS Decline (Y-o-Y): -41.2%, Analysts Estimate:
Containers Ltd. was mainly into packaging, real estate $0.25, Revenue (Q4): $2.40 Bln vs. $2.33 Bln last year,
and petrochemicals. Revenue Change (Y-o-Y): 3.0%

Plastics News | March 2017 44