Home / Knowledge / News / Textiles / Sales in local currencies up in Asia, Americas - Ciba
Sales in local currencies up in Asia, Americas - Ciba
19
Aug '08
Ciba announces half year results and strategic moves to reshape portfolio.

- Good sales growth in Asia in first half year, some slowdown in Europe
- Operational profitability in Q2 heavily impacted by raw material and energy costs
- Significant sales price increases taking effect from mid June
- Goodwill impairment of CHF 595 million in Water & Paper Treatment
- Strategic options under evaluation for paper and publication inks businesses
- Acquisitions and JV planned for Q3 to strengthen Plastic Additives and Coating Effects
- New industry focused operating model to be effective early 2009
- News release Ciba Financial Half Year Results 2008 in HTML (without tables)
- News release Ciba Financial Half Year Results 2008 (including tables) [PDF, 97 KB]
- Ciba Half Year 2008 financial report [PDF, 338 KB]

Brendan Cummins, Chief Executive Officer comments: “We are taking significant action to reshape the portfolio and focus on areas of technological core strength in plastics, coatings and water. A number of options are being evaluated for the paper and publication inks businesses, which are not performing in line with our expectations and require additional strategic action to improve their market positions. Decisions will be taken on an appropriate course of action for both businesses in the next few months. In accordance with accounting requirements, we have also adjusted goodwill levels for the Water & Paper Treatment segment, which brings us into a loss for the second quarter.”

“In Plastic Additives we are in the process of agreeing a joint venture to expand our plastics capability in the fast growing region of the Middle East and we are planning to make acquisitions in the next few weeks that will strengthen our Coating Effects business. These moves will enhance already strong market positions in these segments.”

Brendan Cummins, Chief Executive Officer comments: “The half year results were unquestionably disappointing. We experienced intense margin pressure from the escalation of raw material and energy costs, which went up 10 percent in the second quarter alone, with the heaviest impact in April and May. However, by mid June, we were able to offset these higher costs with sales prices increases and we are seeing further significant sales price increases coming through in July.”

“Business conditions going into the second half clearly remain a challenge. We are experiencing a deterioration in some markets, particularly in Europe, however, we are also seeing continued robust growth in other regions, notably in Asia, where we have a strong market position. Overall, based on our current market forecasts, raw material costs and foreign exchange rates; we believe the outlook we communicated at the first quarter, is achievable with the margin improvements that are coming through from the increased sales prices in the second half. However, should business conditions worsen further, the results may be lower than we are currently anticipating.”


Must ReadView All

Textiles | On 22nd Jul 2017

Govt constitutes GST Feedback and Action Room

The Government of India has constituted a Feedback and Action Room...

Textiles | On 22nd Jul 2017

India’s cotton textile exports fell in FY17: Tamta

The overall export of cotton textiles from India declined in 2016-17...

Textiles | On 22nd Jul 2017

Stella McCartney, Bolt Threads partner for eco fashion

Fashion designer Stella McCartney has partnered with Bolt Threads for ...

Interviews View All

Headhonchos
Indian textile value chain

'One nation, one tax' is a great concept

Mohammad Mamun Ar Rashid
UL VS Bangladesh Ltd

Productivity, creativity and innovation play a vital role in the growth of ...

Amit Jain
Shingora Textiles Ltd

‘In terms of fabric, the fastest growing category for us is a blend of...

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

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

July 2017

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

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Thanks for your valuable feedback. Claim your free latest sustainability e-book.


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



X