UK chemicals maker Croda beats interim profit market view on solid demand, price hikes
UK chemicals maker Croda beats interim profit market view on solid demand, price hikes July 28 (Reuters) - British specialty chemicals maker Croda International CRDA.L on Tuesday beat first-half profit expectations, as price hikes offset input cost inflation linked to the Iran war and strong demand in its consumer care business.
Here are some details from the results:
The chemicals company, which makes peptides for anti-aging creams and ingredients for the beauty, agriculture and pharmaceutical industries, has already been streamlining operations, tightening procurement and hiking its pricing to offset a weaker market due to the U.S. tariffs, and now the Iran conflict.
The firm said price hikes had limited the impact of the war on its performance.
The Europe, Middle East and Africa region is Croda's biggest market, accounting for roughly 40% of total revenue, including 5% from the Middle East.
The firm said sales at its largest segment, Consumer Care had risen 8% in the period, as demand for beauty products gained momentum.
The company said its adjusted pretax profit for the six months ended June 30, rose 7.6% on an organic basis to £147.7 million ($196.20 million), beating market view of £143.7 million.
It kept its annual forecast unchanged. Average market expectations of for annual profit stands at £296.5 million, according to a company-provided poll.
($1 = 0.7528 pounds)
(Reporting by Prerna Bedi in Bengaluru; Editing by Nivedita Bhattacharjee)
((Prerna.Bedi@thomsonreuters.com; +91 98052 24616;))