(RTTNews) – Specialty chemicals company Clariant AG (CLZNY.PK, CRN.L, CLZNF.PK) on Thursday reported a 14 percent decline in its continuing operations EBITDA for the first quarter to 157 million Swiss francs from a restated 183 million francs in the year-ago period.
The company noted that the decline in EBITDA reflects lower sales due to the weak Aviation business in Care Chemicals, softer profitability in Catalysis due to lower sales as well as currency effects.
EBITDA margin was 15.4 percent in the quarter, compared to 15.7 percent in the year-ago period.
EBITDA before exceptional items declined 16 percent to 163 francs from 193 francs last year. EBITDA margin before exceptional items was 16.0 percent compared to 16.6 percent last year.
Clariant reported first-quarter sales from continuing operations of 1.02 billion francs, down 12 percent from 1.16 billion francs in the year-ago quarter. Sales declined 6 percent in local currencies.
The Group said it was confronted by a lower demand environment in the quarter amid a mild winter season and the COVID-19 pandemic.
Looking at 2020, Clariant anticipates a negative impact on sales and profitability from the COVID-19 pandemic, with the impact expected to more strongly affect the second quarter of 2020.
In the mid-term, Clariant expects its continuing businesses to achieve above-market growth, higher profitability and stronger cash generation.