Home / Knowledge / News / Textiles / Clariant unveils new profitable growth strategy

Clariant unveils new profitable growth strategy

22
Jun '12
The Swiss specialty chemicals company Clariant will continue to consistently implement its profitable growth strategy during the next three years, as announced by CEO Hariolf Kottmann and CFO Patrick Jany at this year’s Capital Markets & Media Day in Munich, Germany. The goal is, amongst others, to increase the company’s EBITDA margin from 13.2% in 2011 to above 17% in 2015 and to achieve a return on invested capital (ROIC) that is above peer group average. Clariant will in future generate more than 70% of its sales with core non-cyclical business units.

In order to achieve these goals, considerable progress has to be made in all four strategic directions. Within the existing Business Units, a further profitability increase is planned through Performance Management and Functional Excellence measures. Successful innovations will generate new growth opportunities, as demonstrated already today by new products such as Exolit, a successful flame retardant, or Life Power, a high-performance battery material. In addition, increased market shares in emerging markets such as China, India and Brazil will further boost profitable growth.

An active portfolio management will play an important role on the path to a sustainably profitable company. As already announced with the publication of the 2011 full year results, the company will sustainably increase the quality and performance of its product portfolio. In this context, Clariant is evaluating strategic options for the Business Units Textile Chemicals, Paper Specialties, and Emulsions, Detergents & Intermediates. These options are planned to be implemented during the next 18 months.

CEO Hariolf Kottmann: "We will implement these portfolio management measures with the same speed and determination as that of our activities in the restructuring phase. They are an important pre-requisite for reaching our targets by 2015. At that point, a newly aligned Clariant will be even more profitable and will generate more than 70% of its sales from non-cyclical business units. The acquisition of Süd-Chemie marked a first milestone in this process. We will continue this success story in the next years.”

The acquisition of Süd-Chemie was an important first step for Clariant. Already in 2011 the former Süd-Chemie businesses contributed significantly to the company’s results. Until end 2013, an additional EBITDA improvement of CHF 90–115 million is expected from synergies resulting from the integration. The transaction will be accretive in 2013, i.e. in the second year after the acquisition. In addition, the transaction was fully refinanced within less than twelve months.

Clariant


Must ReadView All

Pic: Shutterstock

Textiles | On 24th Jul 2021

5.2 lakh Zimbabwean homes to gain from Pfumvudza cotton inputs scheme

At least 520,000 households in the marginalised zones of Zimbabwe...

Pic: Lanzatech

Textiles | On 24th Jul 2021

US' LanzaTech, Lululemon to make yarn from recycled carbon emissions

LanzaTech has joined hands with Lululemon athletica, an athletic...

Pic: HOdo Group

Apparel/Garments | On 24th Jul 2021

Chinese apparel firm HOdo exports carbon-offset clothing

Apparel brand HOdo has claimed producing and exporting China’s first...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Trainers faced immense challenges as most were not tech-savvy

Textile Industry, Head honchos

Textile Industry
Head honchos

Marry craft and utility

Textile Industry, Head honchos

Textile Industry
Head honchos

Ensured payment of fee was least concern for students

David Guiho,

David Guiho

Headquartered in Apt, South of France, Delta Plus designs, manufactures...

Abdullah Mohammad Saad Hossain,

Abdullah Mohammad Saad Hossain

Saad Group is a leading vertically integrated textile group in Bangladesh. ...

Shivendra Nigam,

Shivendra Nigam

Delhi-headquartered Cantabil Retail India Ltd was founded by Vijay Bansal...

Michaela Griggs & Peggy Schulz, Barco Uniforms

Michaela Griggs & Peggy Schulz
Barco Uniforms

Founded in 1929, Barco Uniforms started as an apparel company for beauty...

Steve McCullough & Marco Weichert, Functional Fabric Fair & Design and Development GmbH Textile Consult respectively

Steve McCullough & Marco Weichert
Functional Fabric Fair & Design and Development GmbH Textile Consult respectively

Functional Fabric Fair is a trade-exclusive event showcasing the latest...

Johann-Philipp Dilo, Dilo Group

Johann-Philipp Dilo
Dilo Group

German company Dilo Group is one of the leading equipment suppliers of...

Ramya Rao & Kavea R Chavali, Kalaneca

Ramya Rao & Kavea R Chavali
Kalaneca

<div>The journey of Kalaneca (kala-Art, Neca- Nikaah) formally began in...

Sailesh Singhania, Sailesh Singhania Label

Sailesh Singhania
Sailesh Singhania Label

The Sailesh Singhania label was created to promote handwoven sarees and...

Anjali Bhaskar, Samatvam

Anjali Bhaskar
Samatvam

Samatvam, a womenswear brand that blends age-old craftsmanship with modern ...

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

Leave your Comments


July 2021

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


Advanced Search