Formosa Plastics : Announcement of FPC consolidated results in March 2022

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Provided by: Formosa Plastics Corporation
SEQ_NO	1	Date of announcement	2022/04/11	Time of announcement	13:37:40
Subject	Announcement of FPC consolidated results in March 2022
Date of events	2022/04/11	To which item it meets	paragraph 51
Statement	1.Date of occurrence of the event:2022/04/11 2.Company name:Formosa Plastics Corporation 3.Relationship to the Company (please enter "head office" or "subsidiaries"):head office 4.Reciprocal shareholding ratios:N/A 5.Cause of occurrence: Announcement of FPC consolidated results in March 2022 6.Countermeasures:None 7.Any other matters that need to be specified: 1. Compared consolidated sales in March and February 2022: The consolidated sales of NTD 26.47bn in March 2022, which reached the historical high monthly amount, increased by NTD 5.88bn and was up by 28.6% from February 2022. The sales price and volume were both raised, and the reasons were as follows: (1). The sales spread of volume increased by NTD 4.31bn. The total sales volume of each main product of the Company in March 2022 increased 79,000 MT from February 2022. The operation rate in February was 84% because of Chinese New Year holiday and 8 plants in turnaround. Nevertheless, the operation rate in March was 87% even the unexpected power outage d by Taipower on March 3, 2022, and only 6 plants in turnaround. (2). The sales spread of price increased by NTD 1.57bn. The price of each main product of the Company in March 2022 was up by 4~13% from February 2022, given (1) the war between Russia and Ukraine pushed up the price of crude oil, ethylene and propylene, (2) the petrochemical peers in Europe cut production due to the increasing energy cost, which forced the local processing customers switched to purchase materials from the asian producers, and (3) the demand from the solar cell encapsulation film and shoes market. 2. Compared consolidated sales in March 2022 and March 2021: The consolidated sales of NTD 26.47bn in March 2022 increased by NTD 1.45bn and was up by 5.8% from March 2021. The reasons were as follows: (1). The sales spread of price increased by NTD 3.37bn. The price of each main product of the Company in March 2022 was up by 10~122% from March 2021, because the contract price of ethylene and propylene was up by 31% and 23% respectively from March 2021, due to the global economic recovery gradually, the unstopped conflict between Russia and Ukraine, and the unsolved difficulty of supply chain. (2). The sales spread of volume decreased by NTD 1.91bn. The total sales volume of PVC, AN and PP of the Company in March 2022 decreased 52,000 MT from March 2021, given (1) there were 6 plants in turnaround in March 2022 compared to 4 plants in March 2021, and (2) the unplanned shutdown of Renwu and Linyuan Complex led to the decreased sale and production volumes because of the unexpected power outage of Taipowe on March 3, 2022.