Home / Knowledge / News / Textiles / Lanxess reports worldwide sales growth in all segments
Lanxess reports worldwide sales growth in all segments
13
Nov '08
Specialty chemicals company LANXESS AG has continued on its path of growth and is increasing its earnings forecast for the full year 2008. The company now expects EBITDA pre exceptionals to come in at between EUR 710 million and EUR 730 million.

Thanks to its leading market positions and regionally diversified product portfolio, LANXESS is confident of achieving operational sales growth for the current year as a whole. “Following a very successful third quarter, we are raising our earnings forecast for 2008,” said Axel C. Heitmann, Chairman of the Board of Management of LANXESS AG.

Third-quarter 2008 business performance:
The operating result (EBITDA) pre exceptionals rose by a substantial 9.1 percent against the same period of last year, to EUR 191 million (Q3 2007: EUR 175 million).

The EBITDA margin pre exceptionals grew by 0.2 percentage points year on year to 10.5 percent despite the continued weakness of the U.S. dollar. Sales improved by 6.4 percent to EUR 1,814 million (Q3 2007: EUR 1,765 million). Adjusted to reflect for portfolio and currency effects, LANXESS recorded strong operational sales growth of 13.6 percent.

Group net income in the third quarter amounted to EUR 56 million, against EUR 75 million in the prior-year period. The decline was attributable to the weaker financial result, which was boosted in the prior-year quarter by gains from the divestment of non-core businesses.

Performance by segment:
All segments grew sales in the third quarter. Throughout the Group, the increases in raw material and energy costs were again successfully passed on to the market through selling price increases.

Sales in the Performance Polymers segment rose by a substantial 40.6 percent in the third quarter of 2008, to EUR 938 million (Q3 2007: EUR 667 million). Significant growth in raw material and energy costs prompted considerable increases in selling prices, with volumes slightly down and currency effects negative. Sales advanced accordingly by 24.3 percent on prices alone.

The inclusion of the Brazilian Petroflex group resulted in additional growth of 26.7 percent. EBITDA pre exceptionals of the segment improved by a very significant 33.7 percent to EUR 127 million (Q3 2007: EUR 95 million). The EBITDA margin was down only slightly year on year, dipping by 0.7 percentage points to 13.5 percent.

Sales in the Advanced Intermediates segment, at EUR 344 million, were distinctly above the prior-year level of EUR 298 million. This was due to a significant 10.7 percent expansion of volumes. The 2.0 percent negative impact from shifts in exchange rates was more than offset by price increases of 6.7 percent prompted by the rise in raw material costs. EBITDA pre exceptionals of the segment, at EUR 40 million, was on a par with the year-earlier figure of EUR 41 million. Held back by the passing-on of raw material cost increases and by currency effects, thesegment's EBITDA margin decreased from 13.8 to 11.6 percent.


Must ReadView All

Indian govt approves special package for leather, footwear

Textiles | On 16th Dec 2017

Indian govt approves special package for leather, footwear

The Union Cabinet chaired by PM Narendra Modi has approved a special...

EU parliament resolution calls for Cambodia sanctions

Apparel/Garments | On 16th Dec 2017

EU parliament resolution calls for Cambodia sanctions

Following the ongoing crackdown in Cambodia on the opposition and...

Affordable prices to be hit if US pulls out of NAFTA: NRF

Apparel/Garments | On 16th Dec 2017

Affordable prices to be hit if US pulls out of NAFTA: NRF

US retailers’ ability to offer consumers quality products at...

Interviews View All

Hannah Lane
Redress

Encouragement from brands will motivate supply chains to become more...

Anshul Sood
Oceedee

‘Indian footwear market is nascent and largely a trend follower’

Priyanka
Studio Priyanka Rajiv

‘To reinvent the age-old tradition of embroidery to suit demographics and...

Liz Manning

<div><b>Liz Manning</b>, Business Development Manager at Catexel, has...

Hardik Sanghvi

Idealin Fogging Systems has been engaged in designing and manufacturing...

Vikas Banduke

Softech Controls Private Limited (SCPL) is a part of the Cotmac Group, an...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Marten Alkhagen
Swerea IVF AB

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

Judy Frater
Somaiya Kala Vidya

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

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

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

December 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

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.6%
No
12.0%
Skip
18.5%

Total Votes: 92

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

Yes No

Active Poll

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

Yes
62.0%
No
30.4%
Skip
7.6%

Total Votes: 92

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

Yes No

Active Poll

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

Yes
87.0%
No
9.8%
Skip
3.3%

Total Votes: 92

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

Active Poll

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

Yes
81.5%
No
8.7%
Skip
9.8%

Total Votes: 92


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