Home / Knowledge / News / Textiles / Clariant sales up 14% in Q1
Clariant sales up 14% in Q1
03
May '12
Clariant, a world leader in specialty chemicals, announced first quarter sales of CHF 1.945 billion, compared to CHF 1.717 billion in the previous-year period. Sales grew 18% in local currencies and 13% in Swiss francs, mainly driven by the acquisition of Süd-Chemie. On a like-for-like basis, sales declined 2% in local currencies year-on-year.

The first quarter was a continuation of the trend seen in the fourth quarter of 2011. Sequentially, Catalysis & Energy weakened as it entered its low season while the seasonally strong businesses like de-icing and refinery had a weak performance due to unfavorable weather conditions.

This was compensated by a solid growth in the noncyclical Business Units and a pick-up in demand, particularly in Masterbatches, towards the end of the quarter.

In a year-on-year comparison, however, the quarter was weaker due to economic headwinds, an unfavorable currency development and the absence of restocking activities. In this environment, ongoing robust demand was observed in the non-cyclical Additives, Catalysis & Energy, Functional Materials, Industrial & Consumer Specialties, and Oil & Mining Services Business Units, contributing around 50% to total sales and 60% to EBITDA.

CEO Hariolf Kottmann commented: “As expected, Clariant had a soft start into the year as the global economy stabilized. While the non-cyclical parts of the portfolio continued to perform well, the more cyclical businesses faced ongoing challenges in the current uncertain environment, especially in Europe.

“This is reflected in lower margins for the Group compared to an extraordinarily strong quarter one year ago. Going forward, we anticipate a gradual improvement in business conditions throughout the remainder of the year, which combined with further efficiency gains, will lead to an improved performance in the second half-year.”

Oil & Mining Services achieved the highest growth with local currency sales up in the 20 percent range. Sales in the other non-cyclical BUs grew more moderately. Due to a mild winter in North America and a cold but dry winter in Europe, the seasonal de-icing and refinery businesses recorded low demand.

Although seasonally weaker compared to the third and fourth quarter, Catalysis & Energy achieved a very strong order intake above previous years in the first three months, confirming ongoing strength in this business. Business activity in the mature BUs Textile Chemicals, Paper Specialties, Leather Services, and Emulsions Detergents & Intermediates remained subdued.

All regions showed double-digit growth in local currencies with the exception of Europe which was heavily impacted by the euro crisis, mainly in Southern areas.

The double-digit increase in sales was the result of a 14% volume increase and 4% higher sales prices year-on-year. On a comparable basis, i.e. excluding acquisitions, volumes were 6% lower, reflecting both weaker demand in some Business Units and a deliberate loss of less profitable businesses. Compared to the first quarter 2011, the negative effect from currency movements softened somewhat but still impacted the top-line by 5%.

Must ReadView All

Textiles | On 22nd Apr 2017

Strong rupee & weak trade to affect textile exporters

Textile and apparel exporters' earnings and EBITDA margins will be...

Textiles | On 22nd Apr 2017

Myntra acquires InLogg

With an aim to strengthen supply chain and logistics, Flipkart-owned...

Textiles | On 22nd Apr 2017

Aditya Birla Group launches new variant Liva Crème

After its successful launch of high quality fabric Liva in 2015,...

Interviews View All

Md Hanifur Rahman
Aman Group

The level of understanding the job role and organisational requirements...

Manuj Terapanthi
Texaura

Transparent supply chain and fair trade will boost sustainable market

Amrit Sethia
SOIE

‘The intimatewear category in India is slowly becoming trend-sensitive.’

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
April 2017

April 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search