Finance
Clariant's underlying core profit misses forecasts, shares slump
Published by Global Banking & Finance Review®
Posted on February 28, 2025
2 min readLast updated: January 25, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on February 28, 2025
2 min readLast updated: January 25, 2026
Clariant's Q4 earnings missed expectations, causing an 11% share drop. The company confirmed 2025 targets amid challenging market conditions.
By Marta Frackowiak and Dimitri Rhodes
(Reuters) -Clariant missed market expectations for fourth-quarter adjusted core earnings on Friday, sending its shares 11% lower in early trading, after its Care Chemicals unit was hit by lower seasonal business in the aviation and refinery end markets.
The Swiss speciality chemicals maker said its adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) grew 1% to 160 million Swiss francs ($177.6 million) in the quarter, well below analysts' forecast of 181 million francs in a company-provided poll.
"Overall, a miss in Q4 and weaker 2025 guide might result in some underperformance of the shares today," J.P.Morgan analysts said in a note to investors.
Clariant, whose chemicals are used in production of smartphones and electric vehicles, confirmed its 2025 targets for an EBITDA margin of 17% to 18% and sales growth of 3% to 5% in local currency.
However, CEO Conrad Keijzer said during a press call that the sales growth would likely be at the lower end of the guided range given the challenging market conditions.
The energy-intensive chemicals sector has seen an unprecedented drop in order volumes over the past two years, as customers sought to reduce inventories amid soaring energy prices, high inflation and escalating geopolitical tensions.
This year, the European industry will face another challenge in the form of U.S. President Donald Trump's planned 25% tariffs on imports from the European Union.
"Tariffs are not good for business. They're not good for economic growth. They're not good for inflation," Keijzer said.
He said the tariffs would not directly hit Clariant, which typically produces chemicals locally at its 68 sites around the world. It also does not have any local U.S. competitors in the segments it is active in, Keijzer added.
Clariant proposed a dividend of 0.42 Swiss franc per share, in line with what it paid out last year.
($1 = 0.9008 Swiss francs)
(Reporting by Marta Frackowiak and Dimitri Rhodes in Gdansk; Editing by Milla Nissi)
Clariant reported an adjusted EBITDA of 160 million Swiss francs ($177.6 million) for the fourth quarter, which was a 1% increase.
Following the earnings report, Clariant's shares fell by 11% in early trading.
Clariant faces challenges including lower order volumes, high inflation, and the impact of planned U.S. tariffs on imports from the European Union.
Clariant proposed a dividend of 0.42 Swiss franc per share, which is consistent with the payout from the previous year.
CEO Conrad Keijzer indicated that sales growth would likely be at the lower end of the guided range due to challenging market conditions.
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