Japans KH Neochem Co. and Yushiro Chemical Industry Co. both said lubricants-related products helped spur gains in recent quarters. Indian lube supplier Continental Petroleums Ltd. logged a 67 percent annual increase in second-quarter profit.
Specialty chemical producer KH Neochem Co. said sales of lubricants additives used in air conditioning applications helped increase sales volume in its performance materials segment by 26 percent over the prior year to 28 billion (U.S. $249 million) in its third quarter.
In a quarterly earnings filing, the company said oxo-alcohol products used in lubricants in Asian markets contributed to its growth and that it expects total sales for its 2017 financial year to exceed the companys target – reaching 88.5 billion, or an increase of 16 percent.
Sales in KH Neochems basic materials division increased by around 19 percent to 33 billion. The company specializes in oxo reactions that produce alcohols and esters along with derivatives such as 2-ethylhexanoic acid and isononanoic acid, which it sells as raw materials for lubricants. It also makes fatty acids, esters and feedstocks for niche lubricants used in refrigeration compressors.
Japanese metalworking fluids manufacturer Yushiro Chemical Industry Co. saw its sales increase 9.6 percent to 2.2 billion yen in its third quarter, thanks primarily to increased growth in demand from Thailand and India. The companys subsidiary in India recovered from last years loss to record an approximately 11 percent increase in profit.
Yushiro expects its total sales volume for the financial year ending March 31, 2018 to increase by 6 percent. Yushiro produces metalworking fluids mainly for the automotive, precision machining and semi-conductor industries.
Indias Continental Petroleums Ltd. reported that its second-quarter standalone net profit climbed 67 percent year on year to Rs 16 lakh (Rs 1.6 million, or approximately U.S. $25,000), as its other income increased and its sales more than doubled.
Continentals total income from operations increased 133 percent to Rs 11.6 crore in the quarter ended Sept. 30, the seller of Mobolene-branded lubricants and greases said in a regulatory filing. Its other income increased nearly 154 percent to nearly Rs 100,000, the company reported. Total expenses were up 129 percent to Rs 11.3 crore.
The lubricant maker reported a net profit increase of around 14 percent to Rs 25 lakh for the April to September period. Total income from operations jumped 64 percent to approximately Rs 18 crore.