Last updated on April 16, 2014 at 5:49 EDT

Braskem announces 2Q13 Results

August 8, 2013

SAO PAULO, Aug. 8, 2013 /PRNewswire/ – Braskem S.A. (BM&FBOVESPA: BRKM3, BRKM5 and BRKM6; NYSE: BAK; LATIBEX: XBRK announces today its results for 2Q13.


    --  Braskem's resin sales came to 947 kton, increasing 3%. Compared to 2Q12,
        which was affected by local economic slowdown, the market grew 26%.
    --  In the quarter, the average capacity utilization of Braskem's crackers
        stood at 94%, increasing 4 p.p. from 1Q13, explained by the improvement
        in operating efficiency between the periods. Capacity utilization also
        benefited from the provisional measure of May 8, which reduced the PIS
        and COFINS tax rates on raw material purchases.
    --  EBITDA in 2Q13 reached R$1,051 million, increasing 12% from the previous
        quarter, driven by the higher sales volume, the better operating
        performance and the recovery in international resins spreads. In U.S.
        dollar, EBITDA amounted to US$506 million.
    --  Regarding the Ethylene XXI Project in Mexico, the construction of the
        new petrochemical complex continued to advance, with the project's
        physical completion reaching 37.7%.
    --  In July, the subsidiary Braskem-Idesa withdrew the first installment of
        the project finance in the amount of US$1,484 million, which enabled the
        subsidiary to reimburse the investments advanced by shareholders, which
        in the case of Braskem amounted to US$649 million.
    --  As of May 1st, 2013, Braskem decided to designate a portion of its
        dollar-denominated liabilities as hedge for its future exports in order
        to better reflect the effects of exchange variation on the accounting
        result of the Company.
    --  Braskem's leverage, as measured by the net debt/EBITDA ratio, continued
        its downward trend, and excluding the Mexico project from this analysis,
        whose financing is non-recourse to its balance sheet, it reached 3.01x,
        down 10% from 1Q13.

The full earnings release is available on the Company’s IR website: www.braskem.com.br/ir

Braskem will host conference calls to discuss its Results on Friday, August 9, 2013, at 11:00 a.m. ET in English and 9:00 a.m. ET in Portuguese. See connecting details on the Company’s IR website.

For further information, contact Braskem’s Investor Relations Area:

Roberta Pimphari Varella, +55 (11) 3576-9266, roberta.varella@braskem.com

Fernando T. de Campos +55 (11) 3576-9479, fernando.campos@braskem.com

Daniela Balle de Castro, +55 (11) 3576-9615, daniela.castro@braskem.com

Pedro Gomes de Souza, +55 (11) 3576-9010, pedro.gomes@braskem.com

SOURCE Braskem S.A.

Source: PR Newswire