Q: May I have your comments on Methanex’s earnings please
5i Research Answer:
EPS of 52c nicely beat estimates of 34c. Revenue of $922M beat estimates by 10%. Revenue fell 6.5% year over year. EBITDA fell 7.5% to $148M. Realized prices fell 14% to $322/tonne. Methanol prices have strengthened recently, and EPS is expected to rise at least 50% this year. We think the stock remains interesting at only 12X earnings. Much here will demand on demand, and worldwide economic growth, but the quarter itself looks solid, at least vs expectations.