Nov 7 (Reuters) - Chemours Co will increase prices of titanium dioxide and related products by a small margin, Chief Executive Mark Vergnano said on Monday, a day after the chemicals company reported a better-than-expected quarterly profit.
The company’s shares jumped 14.5 percent, hitting a more than one-year high of $19.58.
“For titanium dioxide, we see pricing is still very low in the industry and so we will continue to drive modest but continual price increases in the marketplace,” Vergnano told Reuters.
The company has already raised prices for the chemical - a whitening pigment used in paints, paper and plastics - in January and May.
Titanium dioxide producers have the capacity to successfully raise prices for the chemical this year due to low producer inventories, analysts said.
Chemours’ adjusted net profit surged more than 50 percent in the third quarter ended Sept. 30, driven by costs controls and price increases.
Excluding items, the company reported earnings of 61 cents per share, handily beating analysts’ average estimate of 34 cents per share, according to Thomson Reuters I/B/E/S.
Net sales fell 5.9 percent to $1.40 billion, narrowly missing expectations of $1.41 billion. (Reporting by Arathy S Nair in Bengaluru; Editing by Anil D‘Silva)