(Adds reason for loss, quote, sales, share price)
MEXICO CITY, Feb 25 (Reuters) - Mexican chemicals and plastic pipe maker Mexichem on Wednesday reported a much larger quarterly loss due to a higher cost of sales and larger financial costs and gave a cautious outlook for the year.
The company reported a fourth-quarter loss of $37.11 million, compared with a year-ago loss of $8.92 million. Revenue for the quarter was $1.37 billion, up 7 percent from the same period last year.
“There’s no doubt that the year 2015 will be a challenging period for Mexichem,” the company said in its statement, citing continued economic pressures in Europe and low oil prices.
Mexichem said it would take a cost hit of $9 million in the first quarter of 2015, and $4 million in the second quarter, to restructure its operations.
Mexichem shares closed up 1.72 percent at 44.84 pesos before the company reported results. (Reporting by Gabriel Stargardter; Editing by Leslie Adler)