Nuplex is upgrading profit forecasts for this financial year, as it restructures its business.
The listed plastics specialist previously forecast a pre-tax profit of $100 - $110 million for the year to the end of June next year.
It now expects this to be between $110 - $120 million.
Managing director John Hirst says costs have fallen and demand is gradually recovering, with demand from Asia particuarly strong and profitable.
Meanwhile, the business is being spilt into two divisions: one for materials and one for resins, with each reporting to a chief operating officer.
Mr Hirst says this will allow the business to maximise growth opportunities.