Zurich, Switzerland — Conzzeta, the Swiss conglomerate that owns FoamPartner, generated sales of CHF576.2m ($620.5m) in the first half of 2020. This is a fall of 25% compared with the same period in 2019.
EBIT across the business fell 45% and hit CHF50m. In the same period in the previous year, EBIT was CHF90.9m.
FoamPartner forms the bulk of Conzzeta's chemical specialties business, following the disposal of another business in February this year.
Using the numbers Conzzeta provided for the division without the disposed business, sales fell by 32% between the first half of 2019 and 2020, to CHF122.1m. EBIT in the division declined by 80%, to CHF1.7m.
FoamPartner had to close a number of sites in China, Europe and the US during local lockdowns caused by the coronavirus pandemic. These were matched by shutdowns at customer industries. Closures in the automotive sector had a particularly adverse impact, the company claimed in its half yearly report.
Revenues in the automotive sector fell by 35.2% in the half, and it now accounts for 48% of the chemical speciality sector's business. In the first half of 2019 it was 55%.
The company extended production and storage areas at its Changzhou, Jiangsu, China site to improve logistics and give room for growth. The company also presented a new insulation product for electrical vehicles, RegiSeal eThermal. This insulates vehicles better and improve range by reducing energy consumption, it said.
Currency conversion: XE.com