- Sales down 19% in local currencies and 24% in CHF on weak demand
- Operating loss before exceptionals of CHF 13 million due to low capacity utilization and inventory devaluations
- Cash flow from operations up to CHF 156 million from CHF – 6 million in Q1, 2008 due to strong focus on net working capital reduction
- Net debt reduced to CHF 1,136 million from 1,209 million at the end of 2008
- Outlook: Clariant expects demand to stabilize at current low levels and will continue to focus on cash generation and further cost reductions
CEO Hariolf Kottmann commented: “In a low demand environment, Clariant’s focus on generating cash and cost savings had the expected results. The strong cash flow further strengthened Clariant’s liquidity and has increased the financial headroom for the necessary restructuring. However, inventory devaluations and the impact of capacity underutilization costs led to an operating loss that was mitigated by our cost saving measures reflected in lower SG&A costs. We do not assume a sustainable recovery in demand. In the short- to mid term we will therefore accelerate restructuring and maintain cash generation as top priority.”
