And once they complete, what is the trajectory of enzyme sales and licensing income which we can expect in the next 12 months to 18 months? This profitability improvement was the result of ongoing pricing measures, which enabled us to fully offset the higher raw material, energy and logistics costs. They're all in different phases. I think you might be on mute again. So what are the savings that are associated with those efforts? Corporate Media Relations Investor Relations . Indeed, we have faced unprecedented raw material increases in our Catalyst business. That's the first question. Should we expect that you need to renegotiate your contracts that you also have passed through for this kind of metals, or is the improvement of the margin? Yes. There was no impact from inventory revaluation. And finally, I think Bill mentioned it earlier in the call, there is the impact of the suspension of the business with Russia, which was actually a very profitable business. Let me now hand over to Conrad to begin the presentation. And that's where pretty much everything that comes through, we are looking at in terms of how it impacts our 2025 commitments. And given my background, what I really like doing is, being part of those transformations. Ladies and gentlemen good afternoon. Profitability was impacted by negative one-off effects, which were more than offset by inventory revaluation, which had a positive impact in the mid-teens million range. But for us it is about delivering shareholder value for all of our shareholders. And then the second question really is around Catalysis actually. So the two big ones are product mix and margin squeeze from delay pass-through of raw materials. Industrial Applications sales growth progressed at a low-teen rate, despite its seasonal nature, the Aviation business made positive contributions in specific regions. Thank you, Christian. The next question comes from Jaideep Pandya from On Field Research. Looking at the bolt-on opportunities, looking at the additional revenues from innovation and sustainability the regional growth platforms there's a lot of really exciting -- a lot of exciting topics there. CLARIANT AG : Shareholders Board Members Managers and Company Profile So we do need to take them into account. Please go ahead. And then more general on the order book what is your current visibility on average? I will just ask one question. Please go ahead. At this time, all participants are in listen-only mode. Thank you, Sandra, and ladies and gentlemen, good afternoon. Into the New Welcome to our Integrated Report 2020. . We see the impact we have as an opportunity to generate the value for people with safe chemistry and the responsible use of resources to enable a sustainable future in every way we can and above all, to add value with sustainable innovation. Please be aware, there is a 6 to 9-month delay between typically the moment that we take the order and that it finally ships and in between that period, yes, for us, it's not -- it historically was not possible to adjust pricing. View recent and archived quarterly results, annual reports, conference presentations, and more. For me, they're all equally important. Okay. Journalists & Bloggers. Comprehensive performance, salary and tenure analysis for the CEO, board and leadership team. Clariant is committed to continuously create value for its shareholders by executing on its purpose-led strategy, built on Clariants high-growth, high-margin, specialty portfolio. So is it the unfavorable product mix energy road map and then ramp-up costs. Please go ahead. We got CHF10 million savings in the first 9 months. Good afternoon. Or what is it exactly? A short version of the report that provides a summary will be available as hard copy in English and German and can be ordered via the Clariant website. Thanks a lot. But I think what is underlying there is also the repositioning of this business. I'll try it, again. Joining me today, as usual, is Conrad Keijzer, Clariant's CEO; and Bill Collins, Clariant's CFO. In the third quarter of 2022, the absolute EBITDA increased by 38% and the margin rose to 20% from 17.6%, reflecting a 240 basis point improvement. Yes, I gave some indication on what to expect in terms of restructuring charge. Clariant AG is a Switzerland-based producer of specialty chemicals. Basically, the operating cash flow, yes, we are basically negative on cash flow in the first half versus a slight positive last year. Okay, great. We have set out a clear and ambitious long-term vision, reflected by our financial and non-financial targets. But it is -- yes, it is quite a significant part of that 27% pickup, which is going to stay also into quarters to come. Continuing with Catalysis on Slide 12. . Annual Report 2021 (9.15 MB) Add to my collection. Download Investor Relations App. If you look more broadly, globally what we see is actually a mixed picture. Thank you for taking my question. Please disable your ad-blocker and refresh. And we have that right, plus the share of Petrochemicals business in catalysts that we're targeting then actually, you should see those numbers coming back above 22%, 23%. for all our stakeholders.". Sure. Let me start by saying, I am very excited to be part of the Clariant team and to be back in Switzerland for the second time in my career, very much looking forward to our continued interactions in the months and years to come. CLN - Clariant AG Stock Price Quote - XSWX:CLN | Morningstar That is really helpful. Our team remains committed to taking the next steps to meet our 2025 targets, which we introduced last November. Turning to Natural Resources on slide 11. Yes, a couple of questions, please. With that, I would like to turn the call back over to Andreas. Thank you. Please go ahead. We also expect to improve the restated group EBITDA margin level on a year-on-year basis. The initial Daya Bay flame retardant plant is on track to commence production in mid 2023. Yes. Jaideep, it's not better. Thank you so much, Conrad for the clarity. The Care Chemicals business area produces ingredients for laundry detergents, fabric softeners, disinfectants and dishwashing detergents, as well as plasticizers . We will now open the line for questions. If you have an ad-blocker enabled you may be blocked from proceeding. Thank you very much. Skip Navigation. Yes, Alex, thanks for the question. There is, indeed, as you mentioned, the additional business that we see coming in from China for our CATOFIN business, that is definitely an effect. Although Care Chemicals sales increased by 24% in local currency, supported by double-digit organic sales growth in both consumer care and industrial applications, the quarter was also characterized by softening demand and selective customer destocking which resulted in a flat volume development for the quarter. So if we're looking at the inventory revaluation aspect, I think we can look at that probably in Care Chemicals in the mid to high-teen million number in terms of impact on the first half of the year, which would then put us at a normalized margin of around 21%. So basically, yes, this is biotechnology. What we noted at the time when we were looking in more detail at the overall [indiscernible] setup was that we had some instances where we had, literally as an example, 11 layers of management between myself and an operator in one of our plants. And just if you could just talk about the third quarter, how you started the quarter as you see in the month of July so far and just in general, some comments on what you're seeing on demand would be very helpful. Investor Relations - Henkel So the question on Liquid as far as plant build and the schedule, so first I believe you mentioned a number of six plants or six licensees, Jaideep. Our EBITDA margin increased to a record 17% from 16.5% in the previous year, due to pricing measures, volume leverage and continued cost discipline across the group. Financial reports. Thanks Conrad and good afternoon, Christian. Yes. Okay. As a reminder, our second-generation bioethanol basically, uses the waste from agricultural production and not the crop itself. The sales price, subject to standard closing conditions, is set at US$14.5 million. Thank you for taking my question. As you can see on Slide #6, in the third quarter, we reported -- the reported EBITDA increased by 29% to CHF220 million. Is that why you are so confident on finally getting the Catalyst margin up for Q3? The corresponding EBITDA margin rose by 130 basis points to 16.8%, increasing from the 15.5% reported in the third quarter of 2021. And it's not just pricing. Yes, we didn't disclose an EBITDA number, but clearly, this was highly dilutive to the overall business in OMS. So that already tells you at 14.5 million cash payment that the earnings were extremely limited on this, and it was actually a unprofitable business. Please go ahead, sir. With that said, let's get straight into Q2. We are reducing complexity by organizing our group into three global business units instead of five. New York, New York--(Newsfile Corp. - September 9, 2022) - Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Clariant AG ADR ("Clariant AG" or the "Company") (OTC: CLZNY). Too many layers between myself and a sales representative visiting customers. And then, we actually tweak that product and sell it to customers like L'Oreal, who very much this value proposition of bio-based cosmetics. And then, I really would like to understand, what the Care Chemicals how we should understand the Care Chemicals business. So it's normal for us to then think this is more a 24% story, not a 23% story because we -- at least for me, I've been thinking it is really because of the price versus energy cost and raw material lag, which is why your margins have taken a hit. So we do need to obviously see the ramp-up in biofuels, resulting not just in profitable sales, but also in profitable business with our licensees. I would like to remind all participants that the presentation includes forward-looking statements which are subject to risks and uncertainties. The needs of our shareholders with above-average returns. 2.2. And then on your question with regard to restructuring, yes, there will be a cash impact of the restructuring. You correctly mentioned these are the higher salaried positions in the company. Yeah, as to your first question margins in Care Chemicals this is obviously our star performer right now and we are extremely pleased with the margins that we saw in the second quarter at an unprecedented high level. What limits the yield? As you can see on Slide #4, Clariant delivered particularly strong sales growth in the third quarter of 2022, with an increase of 27%, in local currency versus the third quarter of 2021. In our view, Clariant is well positioned to outpace the market and to continue to grow profitably. Thank you. Clariant AG is a Switzerland-based producer of specialty chemicals. As far as your second question on natural resources and mix here, again, on margins in natural resources we're very pleased with developments that we are seeing. Share article Facebook Twitter LinkedIn Email. Can you give us an idea of if the margins are significantly different between the business lines and natural resources? Oil Services sales reflected a notable year-on-year improvement due to strong market demand, while Mining Solutions sales increased significantly, supported by successful pricing measures. It is very much about outgrowing our peers in the most attractive segments. As a final housekeeping comment, please note that the figures discussed today refer to continuing operations unless specifically noted otherwise. Can you help us understand what you see from a quarter-on-quarter perspective on the underlying EBITDA in Q4 versus Q3? Is that a measure of how soft volumes are? There's actually a strong level of volume in this growth. This second line is expected to come onstream during 2024. It dates back to two acquisitions that the company made back in 2016. However, weve this restructuring charges, which clearly are a one-off. Ladies and gentlemen, good afternoon and welcome to today's call. Welcome to our third quarter 2022 results conference call. Oil & Mining Services sales grew in a high teen percentage range in the second quarter. Well, Alex, so the reason we actually redesigned the organization, the reason we actually defined our new operating model was very much to set up the company for growth. Clariant AG (CLZNF) CEO Conrad Keijzer on Q2 2022 Results - SeekingAlpha In the second half of the year, we expect to report continued sales growth based on higher prices, but weaker volumes, in part due to the higher comparison base, but also because of the sequential weakening of demand that was already visible towards the end of the second quarter. Thank you. The next question comes from Andreas Heine from Stifel. The proceeds of CHF175 million will be used for eligible assets, which will drive sustainable innovation to support Clariant's purpose led growth strategy. INVESTOR RELATIONS Andreas Schwarzwlder Phone +41 61 469 63 73 . Clariant is implementing contingency plans to effectively mitigate the impact of a gas reduction of up to 30%, and we are preparing action planning for a potential impact of a gas supply reduction of up to 60%. Specific regions Switzerland-based producer of specialty Chemicals think what is underlying there also! 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