Leather unit performs well for LANXESS9 August 2010
Good sales performance in emerging markets have led to Lanxess, the German specialty chemicals company, to lift their full year outlook they reported on August 6. The leather business unit performed well within the Performance Chemicals segment. Second-quarter net profit hit euro 131 million up from euro 17 million last year. Q2 sales rose to euro 1.83 billion. Full year forecasts have been adjusted to euro 800 million up from an original range of between euro 650-700 million. Demand from markets in Asia and Latin America helped lift profits.
Sales of the Performance Chemicals segment rose 40% year-on-year to euro 537 million in the second quarter, with all seven-business units showing volume improvements. EBITDA pre exceptionals rose 91% year-on-year to euro 84 million. The strongest contributor to operating earnings was the Leather Business Unit, which registered a significant increase in demand for its products from the clothing, furniture and automotive industries.