Brazilian lubricants producer and distributor Moove saw profit extend its rise in the three months to end-September as sales outpaced costs for a second quarter.Profit before interest, taxes, depreciation, and amortization (EBITDA) rose to 245.4mn Brazilian Real ($46.4mn) in the three months to end-September, Cosan Group said in an earnings statement.Moove is part of Cosan Group.Profit rose by 57pc from year-earlier levels and by 6pc from R232.1mn during the second quarter of the year..Profit rose on the back of a 65pc rise in sales from year-earlier levels to R2.66bn in the third quarter. The rise in sales outpaced the 58pc increase in costs during the same period.Revenue got a boost from a 66pc rise in sales volumes of base oils and lubricants to 158,200mᶟ (140,140t) in the third quarter.Sales and sales volume benefited from the consolidation of US lubricants distributor and marketer PetroChoice and Brazilian lube blender Tirenno in the results.The consolidation of the companies reflected Moove’s ongoing expansion into other regions. Within Brazil, Moove’s sales volume rose by 5.6pc in the third quarter from a year earlier even as Brazil’s lube consumption fell by 6pc during the same period.The higher sales volume boosted its share of the domestic lube market to 21pc of the total, up from an 18pc share the same time a year earlier..Brazil's September lube demand falls.The higher revenue boosted Moove’s gross profit margin to 24pc in the third quarter, up from 21pc during the same period a year earlier. Its EBITDA profit margin of 9.2pc edged down from 9.7pc during the same period a year earlier.Moove continued to focus on consolidating PetroChoice and capturing efficiency gains.The steady-to-firm margins contrasted with many major blenders’ weaker third-quarter profit margin as they absorbed a swathe of rising costs from raw materials to personnel and logistics.At the same time, Moove’s margins lagged the higher third-quarter profit margins of many major base oils producers as they benefited from a sharp fall in feedstock costs.The trend highlighted Moove’s exposure to both the base oils and lubricants segment of the market and suggested the relative performance of each of those segments balanced out each other.It also highlighted the relative strength of the Americas market compared with other regions.Moove produces and distributes lubricants under the Mobil and Comma brands throughout South America and the US, as well as in Europe. It also imports and distributes base oils in the Brazilian market..Brazil’s Moove sees Q2 profit rise
