NEW YORK Globe Specialty Metals Inc.s net income fell in its fiscal third-quarter under the weight of low metals prices, even as the silicon producer experienced an uptick in shipments and sales after completing maintenance outages at its four U.S. facilities.
The New York-based silicon producer reported net income of $11.6 million during the three months ended March 31, down 13.6 percent from $13.4 million in its fiscal second quarter and down 50.4 percent from $23.4 million in the same year-ago quarter.
Lower prices for all silicon metal and silicon-based alloys were largely behind the fall, Globe said.
The company didnt cite specific prices, but AMM data shows spot silicon tags are now between $1.28 and $1.32 per pound, down some 20 percent from last years highs of $1.63 to $1.72 per pound.
At the same time, net sales rose to $173.4 million in its fiscal third quarter, up 4.8 percent from $165.5 million in its fiscal second quarter and slightly above the $172.8 million reported in the same period last year.
The higher sales came as Globe saw a sharp rise in volumes, shipping 60,828 tonnes of silicon and silicon-based alloys in its fiscal third quarter, up 18.6 percent from 51,306 tonnes in its fiscal second quarter and 2.6 percent higher thanthe 59,276 tonnes shipped in the same year-ago quarter.
Globe attributed the uptick to the completion of a number of planned maintenance outages at its plants in Alloy, W.Va.; Beverly, Ohio; Niagara Falls, N.Y.; and Selma, Ala. (AMM, Aug. 25); and a sooner-than-expected restart at its Bridgeport, Ala., facility following a late-November fire (AMM, Nov. 30).
Globe reported nine-month net income of $45.8 million, up 22.8 percent from $37.3 million in the same period a year earlier.