Clariant delivers further progression in sales and EBITDA in the first nine months of 2018


  • Sales grew by 6 % in local currency and Swiss francs to CHF 4.994 billion
  • EBITDA before exceptional items increased significantly by 7 %
  • EBITDA margin before exceptional items at a solid 15.3 %
  • 2018 outlook confirmed

“In the first nine months of the year, Clariant has delivered strong sales and EBITDA”, stated CEO Ernesto Occhiello. “Going forward, we will focus on growth and cost awareness, while emphasizing to an even greater extent customer-specific, technologically advanced applications and enhancing operating efficiencies. In addition, the implementation of the recently announced portfolio changes will further fuel substantial profitability progression.”

Nine Months 2018 – Growth progression continues

Muttenz, October 31, 2018 - Clariant, a world leader in specialty chemicals, today announced nine months 2018 sales of CHF 4.994 billion compared to CHF 4.698 billion in 2017. This corresponds to 6 % growth in local currency and in Swiss francs which was supported by both higher volumes and pricing. Contributions from all Business Areas bolstered the 6 % organic sales growth in local currency.

Most regions contributed to the sales growth. Latin America reported the strongest growth of 13 % in local currency. In Asia, sales rose by a robust 9 % mainly driven by China and India. Sales in North America grew by 6 % on the heels of strong expansion during the same time period in 2017. In Europe, sales advanced by a solid 4 %. Only the Middle East & Africa, the Group’s smallest geographic region, reported a slight sales decrease of 3 %.

Care Chemicals and Catalysis both reported continued brisk demand momentum. Sales in Care Chemicals advanced by 9 % in local currency driven by both Consumer Care and Industrial Applications. Despite a high comparable bar, Catalysis sales climbed significantly by 12 % in local currency with a good organic sales growth of 8 %.

Natural Resources reported 7 % higher sales in local currency which reflects the improving oil environment. In Plastics & Coatings, sales progressed by 3 % in local currency despite a strong comparable base. All three Business Units contributed to this progression.

EBITDA before exceptional items rose by 7 % and reached CHF 765 million compared to CHF 717 million in the previous year. This improvement was driven by the positive development in Care Chemicals and Plastics & Coatings.

The corresponding EBITDA margin before exceptional items remained robust at 15.3 %.

Third Quarter 2018 – Sales increase and EBITDA improvement

In the third quarter of 2018, sales rose by 5 % in local currency to CHF 1.605 billion mainly due to price increases. Sales growth in Swiss francs was 2 % given the adverse currency impact in the quarter. The strong sales progression in Care Chemicals and Natural Resources contributed most to this advancement.

Most geographic regions added to the growth. Sales in Latin America progressed by 14 %, while North America and Europe both grew sales by 5 %. Sales in Asia improved 3 % in local currency year-on-year. China softened in the third quarter, but continued to develop well against a strong comparable base in the third quarter of 2017. Only the smallest region, Middle East & Africa, reported a minor sales contraction of 1 %.

Sales in Natural Resources climbed by 14 % supported by a notable demand uptake in the Oil & Mining Services business and an ongoing positive development in Functional Minerals. In Care Chemicals, sales rose by 8 % in local currency while Plastics & Coatings grew sales by 2 % underpinned primarily by the Pigments and Additives Business Units. Sales in Catalysis decreased by 4 % against a record quarter in the same period in the previous year.

EBITDA before exceptional items rose by 3 % to CHF 241 million primarily due to the strong contributions from Care Chemicals and Plastics & Coatings. The corresponding EBITDA margin before exceptional items remained at a solid 15.0 %.

Outlook for 2018 – Continued progression in growth, profitability improvement and operating cash flow generation

Clariant expects the economic environment in mature markets, which represent a high comparable base, to remain solid, albeit grow at a slower pace. Emerging markets are expected to remain broadly supportive.

For 2018, Clariant is confident to be able to achieve growth in local currency, as well as progression in operating cash flow, absolute EBITDA and EBITDA margin before exceptional items.

Going forward, as announced in September, Clariant expects to improve its performance as a result of further operational progression and the accelerated reshaping of its portfolio through the divestment of Pigments, standard Masterbatches and Medical Specialties as well as the creation of the new Business Area High Performance Materials.

For more details, please download the PDF of the press release.

Request to Clariant

Please enter your contact information so we are able to process your request. Thank you for your interest.

Contact Us
Contact Us
Online Communications Team
Disclaimer:
This information corresponds to the present state of our knowledge and is intended as a general description of our products and their possible applications. Clariant makes no warranties, express or implied, as to the information’s accuracy, adequacy, sufficiency or freedom from defect and assumes no liability in connection with any use of this information. Any user of this product is responsible for determining the suitability of Clariant’s products for its particular application.<br />
<br />
* Nothing included in this information waives any of Clariant’s General Terms and Conditions of Sale, which control unless it agrees otherwise in writing. Any existing intellectual/industrial property rights must be observed. Due to possible changes in our products and applicable national and international regulations and laws, the status of our products could change. Material Safety Data Sheets providing safety precautions, that should be observed when handling or storing Clariant products, are available upon request and are provided in compliance with applicable law. You should obtain and review the applicable Material Safety Data Sheet information before handling any of these products. For additional information, please contact Clariant.<br />
<br />
* For sales to customers located within the United States and Canada the following applies in addition: No express or implied warranty is made of the merchantability, suitability, fitness for a particular purpose or otherwise of any product or service.<br />
<br />
© Trademark of Clariant registered in many countries.<br />
® 2019 Clariant International Ltd 

You are about to leave the Clariant domain

The link you activated will take you outside the Clariant site in about 10 seconds. If you want to stop this, press "Cancel".