Raw materials pressure leads to tough outlook
30/07/2008
Clariant’s second-quarter results have led to a drop in the chemical company’s share-price in Zurich.
Results for the quarter showed earnings of around $46.6 million on sales of just over $2 billion, a drop of 2.7%. Chief executive, Jan Secher, said on releasing the figures: “We expect an unbroken trend of raw-material cost increases, a weakening macroeconomic environment and unfavorable foreign exchange rates.”
He went on to explain that the company’s biggest business unit, which produces chemicals for the leather, textile and paper sectors, had suffered an increase in raw materials costs of 13% in the second quarter, while it had raised prices by only 5%.
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