Lower methanol pries and sales in the second quarter helped push Vancouver-based Methanex Corp. (TSX:MX) into the red for a third consecutive quarter.
Sales in the second quarter ending June 30, 2009 fell 59.1% to $245.5 million from $600.1 million in the same period last year.
The sales decline came from a combination of plummeting methanol prices and reduced sales volumes. Methanol prices have slid to $211 per tonne in the second quarter, compared with $489 per tonne a year ago.
Sales volume of purchased methanol also fell 39% to 329,000 tonnes from 541,000 tonnes, pushing down total sales volume for the quarter to 1.4 million tonnes from 1.6 million tonnes a year ago.
Methanex reported a second quarter net loss of $5.7 million compared with a net profit of $38 million in the same period in 2008.
Looking ahead, the company said it believes methanol prices should remain relatively stable during the third quarter. It reported that July's methanol prices have risen slightly to $235 per tonne as the global economy slowly recovers. It warned, however, that prices will ultimately depend on the strength of global demand.
Methanex's share price range during the past week: between $17.02 and $18.20; 52-week high: $28.91; 52-week low: $7.26.