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Borealis posts net profit of 533m euros
Borealis, provider of polymer and plastics solutions, yesterday reported strong financial results for 2007 with a net profit of 533 million euros, compared to 327 million euros the year before.
- Staff Report
- Published: 00:48 March 13, 2008
Dubai: Borealis, provider of polymer and plastics solutions, yesterday reported strong financial results for 2007 with a net profit of 533 million euros, compared to 327 million euros the year before.
This represents an increase of 63 per cent (or 29 per cent without the one-off gain from the sale of the Norwegian operations).
The result corresponds to a return on capital employed after tax of 22 per cent (18 per cent without the one-off gain) compared to 17 per cent in 2006. Net interest-bearing debt increased by seven million euros during 2007, while the gearing ratio fell from 34 per cent in 2006 to 27 per cent at year-end 2007.
An investment of $4.7 billion in a major expansion project with Borouge, Borealis' joint venture with the Abu Dhabi National Oil Company, aims at tripling annual production capacity to two million tonnes of polyolefins by 2010. This project lays the groundwork for further expansion in Asia and the Middle East.
"A combination of positive market conditions and the successful execution of our value creation through innovation strategy brought us solid financial results again this year," said chief executive Mark Garrett.
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