Clariant issues profit warning on currency exchange fears
Swisss specialty chemicals player Clariant says a softening of the global economy and unfavourable currency exchange are likely to impact its profits for the full financial year 2011.
"The first two months of the second half-year have been marked by a continuing unfavorable development of foreign exchange rates and increasingly difficult economic conditions, negatively impacting Clariant’s operating business," the company confirmed in a press statement yesterday.
The company stressed that despite the fact that demand for its product portfolio has remained strong in some regions, other markets have seen a distinct 'softening'.
As a result the company estimates that sales are expected at CHF 7.0 (€6.3bn) - 7.2 bn while the EBITDA margin before exceptional items should reach between 12.8 per cent and 13.2 per cent, figures the company said that were still above the 12.7 per cent reported in the last business year.
