Clariant leather sales subdued despite Q1 growth4 May 2012
Clariant, the international specialty chemicals maker, announced on May 3 first quarter sales of CHF 1.945 billion ($2.11 billion), compared with CHF 1.717 billion ($1.88 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.
Business activity in the mature BUs such as 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.
Clariant confirms their outlook for 2012 with the publication of its full-year figures. Raw material costs are expected to rise in the mid-single-digit range while exchange rates should remain stable compared to the beginning of the year. In their base case scenario, Clariant expect that after a weak start to 2012, the global economy will strengthen progressively in the course of the year. Therefore, results for the first half-year are expected to be lower compared to the high base of the first half of 2011, with an improvement in the second half-year 2012. For full-year 2012, Clariant expect further sales growth in local currencies and sustained profitability.