IVL’s 1Q20 Profit Plummets 85% due to a Lower Sales Income

Indorama Ventures Public Company Limited (IVL) has reported its 1Q20 consolidated financial statement through the Stock Exchange of Thailand as follows;

IVL reported a net profit of 570 million baht in 1Q20, decreased 84.61% when compared to a net profit of 3,707 million baht in 1Q19 mainly due to a decline in sales amid the surge of selling and administrative expenses. The revenue fell 3% YoY from 3,030 million baht to 2,942 million baht, resulted by  lower sales of integrated PET.

 

IVL experienced some early headwind starting late February due to COVID-19 as some of the sites in China, India and Italy were impacted. Therefore, IVL has taken proactive steps to reduce the inventories, reduce the capex by US$300 million and will actively manage costs.