Editor: Adam Zhang
The US company scored increased turnover on supportive end markets, including refractories and metallurgy, offsetting poor conditions in the paper market in North America.
US refractories producer Minerals Technologies Inc. (MTI) posted double-digit net income growth in 2017, following a positive final quarter and buoyant end markets, such as refractories.
Global net sales rose 2% to $1.676 billion, while consolidated net income attributable to the company grew 45% to $199 million.
"As we enter 2018, we are solidly positioned to continue to pursue sustainable, profitable growth across our portfolio," MTI chief executive officer Douglas Dietrich said.
The company's fourth-quarter performance was particularly strong with increases reported across all four main segments MTI operates in – performance materials, specialty minerals, refractories and energy services.
Fourth-quarter global net sales increased 8% to $432 million, with operating income at $45.7 million.
Sales in the minerals business increased 9% in the final four months of 2017, while those of refractories and energy services rose 5%.
Building materials sales rose over 20% due to "several large projects" undertaken across the country in the period. In specialty segments, precipitate calcium carbonate (PCC) and processed minerals both increased in turnover. PCC demand was high in Asia and Europe, in particular, driving sales, although a notable shrinkage was seen in North America. Ground calcium carbonate (GCC), meanwhile, posted high demand from construction and automotive markets.
Refractories sales also increased on growing demand from steelmakers. Operating income in this segment rose 4% in the fourth quarter.
In the full year, the performance materials segment sales increased 7% to $734.8 million.
Among the main business groups, metalcasting sales increased 14%, principally due to higher volumes in Asia and North America.
Basic minerals sales increased 20%, driven primarily by higher sales of bulk chromite and drilling products, and building materials sales increased 6%.
In specialty minerals, total sales dropped 1% to $584.8 million, mainly due to lower PCC turnover on the back of a segment decline in North America, which offset growth in Asia and Europe.
MTI supplies materials and processed products to industries including refractories, metallurgy, paper, construction and oilfield minerals.