SGL CEO resigns following weaker financial performance in July

SGL CEO resigns following weaker financial performance in July

6:05 AM, 17th August 2019
SGL Carbon logo

WIESBADEN, GERMANY: SGL Carbon said that its CEO Jurgen Kohler has resigned after the company tumbles its full-year earnings guidance following a weaker-than-expected financial performance in July 2019.

The actual results of July 2019 of the business unit Composites – Fibers & Materials (CFM) of SGL Carbon show a significant deviation from its expectations, the company said.

The actual results for July 2019 also document that the anticipated recovery in the market segment Industrial Applications as well as the planned earnings improvement measures will not benefit the results in the second half 2019 in the expected magnitude.

Due to these new findings, counter measures will be required. Amongst others, restructuring measures are being considered.

This development also results in a new guidance for Group recurring EBIT for 2019: Results in the business unit Graphite Materials & Systems (GMS) and Corporate, which in total will be a mid-single digit million € amount higher than expected, will only partially be able to compensate for the deterioration in the business unit CFM. Therefore, we now expect a recurring Group EBIT approximately €10 million below the prior year level (previous guidance: approximately on prior year level of €65 million). Accordingly, consolidated net results are expected to reach a high single digit million loss (previous guidance: break-even consolidated net result).

The company said that in consideration of these developments, the Group guidance for 2020-2022 is no longer sustainable. We plan to publish the new guidance after completing the new Group plan in January 2020 at the latest.

© Worldofchemicals News



Your Comments (Up to 2000 characters)
Please respect our community and the integrity of its participants. WOC reserves the right to moderate and approve your comment.

Related News

Elkem acquires Korean specialty silicone gels producer Basel Chemie

OSLO, NORWAY: Elkem ASA acquires Basel Chemie, a Korean producer of specialty silicone gels for cosmetics and water repellents for the construction in ...

Read more
Behr Paint unveils 2020 colour of the year: Back to Nature

CALIFORNIA, US: Behr Paint has unveiled Back to Nature S340-4 as its 2020 Colour of the Year. It perfectly captures the essence of subtle and effortle ...

Read more
Praj Industries, Dedini to provide ethanol production technologies in Brazil

PUNE, INDIA: Praj Industries has entered into a cooperation agreement with Dedini S/A Indústrias de Base to provide ethanol production technolo ...

Read more
Roche's personalized cancer treatment wins FDA approval

BASEL, SWITZERLAND: The US Food and Drug Administration approved Roche Holding AG's personalized cancer treatment, which targets tumors with specific ...

Read more
Hengli announces successful startup of world's largest dehydrogenation plant

MUNICH, GERMANY: Hengli Group has successful started its new dehydrogenation plant in Dalian, China. The plant uses Clariant’s Catofin catalyst ...

Read more
Domo Chemicals to acquire Solvay’s European polyamides business

GHENT, BELGIUM: Domo Chemicals has signed an agreement to acquire Solvay’s performance polyamides business in Europe. This includes engineering ...

Read more uses cookies to ensure that we give you the best experience on our website. By using this site, you agree to our Privacy Policy and our Terms of Use. X