Market slowdown hit Perstorp in H1

Malmo, Sweden — Polyol supplier Perstorp had total sales of SEK 6.3bn ($673m) in the first half of 2019. This is down 2.75% on the equivalent period last year.

EBITDA across the business fell 23.3% to SEK 775m in the first half of 2019.

'Our second quarter has been characterised by weaker demand and lower margins,' said CEO Jan Secher. 'We have already taken actions to mitigate some of the consequences to protect the company’s performance.'

Sales in the company's specialty polyols & solutions business fell 4.1% between first half of 2018 and the first half of 2019. At SEK 3.5bn in the first half of 2019, this compares with SEK 3.7bn in the equivalent period last year.

EBITDA in the division fell by 20.0% to SEK 528m in the first half of 2019. In the 2018 half, the figure was SEK 660m.

Perstorp said that the lower sales were a result of lower volumes and sales prices for its Neo and Formates ranges in APAC and EMEA. Sales at the end of the second quarter were also hit, as customers in all regions delayed purchases. Customers expect prices to fall the third quarter. The fall in sales fed through to EBITDA for the division.

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