Magnesita Refratarios S.A. (Magnesita), a provider of refractory solutions, reported Wednesday a surge in net income in Q2 2011. Net income of R$30.8 million (US$19 million) in Q2 were up 41 percent from Q1 and 22 percent from Q2 2010, as net revenues increased 1.3 percent from Q1 to R$583 million (US$360 million).
Quarterly revenues from refractory solutions were R$526.4 million (US$325 million), a sequential increase of 6.2 percent and 9.3 percent over the same period a year ago, primarily due to a 7.3 percent increase in South America due to increased sales to the steel sector. The steel sector accounted for 87 percent of Magnesita's total revenue in Q2, with the industrial component accounting for the remaining 13 percent.