CLARIANT
Weakness in Europe is offset by gains in other regions in 2012 / Masterbatches record small rise in operating profit / Severe downturn affects pigments business
Swiss specialty chemicals producer Clariant (Muttenz; www.clariant.com) has reported an operating profit (EBITDA) of CHF 802m (EUR 652m) in 2012, a year-on-year fall in Swiss francs of 4%. Sales increased by 8% on 2011 to CHF 6.04 bn. Sales growth was driven by the acquisition of Süd-Chemie – see Plasteurope.com of 28.04.2011 – while organic growth was flat with 2% higher prices offsetting lower volumes.
The company said that while its masterbatch business rode out the weakness in Europe, its pigments and additives units were impacted by the severe downturn in some end-markets – mainly in coatings, printing and electronics – and primarily in Europe.
In masterbatches, operating profit increased by 2% year-on-year to CHF 132m, on sales that remained flat compared with 2011 at CHF 1.12 bn. Sales were higher in Latin America and unchanged in Europe where weakness persisted in Germany and southern Europe, partially offset by solid growth in the UK, Poland, and the Nordic countries. Going forward, the company said the masterbatches business unit will continue to improve its cost structure, particularly in Europe, and further shift its portfolio towards high end applications.
The pigments business reported operating profit down 29% at CHF 149m on sales down 8% at CHF 899m. Sales increased sharply in plastics pigments, where strength in Asia/Pacific, Latin America and North America compensated for the weakness in Europe. In coatings, sales contracted further due to soft demand and destocking in Europe.
Geographically, across the company, all regions recorded double digit sales growth other than Europe, which posted a decline in sales of 2%. The company said that weakness in southern Europe had spread across the continent in the second half of the year. However, with around two thirds of the company’s sales coming from outside Europe, the impact of the fall was offset by growth in other regions.
Clariant CEO Hariolf Kottmann said: “Clariant achieved solid results in a demanding year, with the majority of businesses performing well. In most regions the company continued on a robust growth path. In Europe, the economic weakness affected some of the more cyclical businesses. Concerning the repositioning of Clariant, the company has made good progress. Five businesses have been reclassified as discontinued operations and an agreement to divest three of those businesses has already been signed.”
Looking forward, the company said the focus in 2013 will be on growing the remaining seven core businesses and that, combined with cost efficiencies, the reshaped business is well positioned to achieve its 2015 targets.
e-Service:
Clariant financial review Q4 and full year 2012 as a PDF document
The company said that while its masterbatch business rode out the weakness in Europe, its pigments and additives units were impacted by the severe downturn in some end-markets – mainly in coatings, printing and electronics – and primarily in Europe.
In masterbatches, operating profit increased by 2% year-on-year to CHF 132m, on sales that remained flat compared with 2011 at CHF 1.12 bn. Sales were higher in Latin America and unchanged in Europe where weakness persisted in Germany and southern Europe, partially offset by solid growth in the UK, Poland, and the Nordic countries. Going forward, the company said the masterbatches business unit will continue to improve its cost structure, particularly in Europe, and further shift its portfolio towards high end applications.
The pigments business reported operating profit down 29% at CHF 149m on sales down 8% at CHF 899m. Sales increased sharply in plastics pigments, where strength in Asia/Pacific, Latin America and North America compensated for the weakness in Europe. In coatings, sales contracted further due to soft demand and destocking in Europe.
Geographically, across the company, all regions recorded double digit sales growth other than Europe, which posted a decline in sales of 2%. The company said that weakness in southern Europe had spread across the continent in the second half of the year. However, with around two thirds of the company’s sales coming from outside Europe, the impact of the fall was offset by growth in other regions.
Clariant CEO Hariolf Kottmann said: “Clariant achieved solid results in a demanding year, with the majority of businesses performing well. In most regions the company continued on a robust growth path. In Europe, the economic weakness affected some of the more cyclical businesses. Concerning the repositioning of Clariant, the company has made good progress. Five businesses have been reclassified as discontinued operations and an agreement to divest three of those businesses has already been signed.”
Looking forward, the company said the focus in 2013 will be on growing the remaining seven core businesses and that, combined with cost efficiencies, the reshaped business is well positioned to achieve its 2015 targets.
e-Service:
Clariant financial review Q4 and full year 2012 as a PDF document
18.02.2013 Plasteurope.com [224588-0]
Published on 18.02.2013
German version of this article...