Belgian chemical firm Tessenderlo cuts profit outlook on dollar volatility

Tessenderlo NV

23/08/2017 07:56

Aug 23 (Reuters) - Belgian chemical group Tessenderlo 
 TESB.BR  cut its 2017 profit outlook on Wednesday, citing a 
challenging market and currency volatility in the U.S. dollar as 
it generates a significant share of its profit in the United 
States. 
    Tessenderlo now expects recurring earnings before interest 
taxes, depreciation and amortization (REBITDA) growth to be 
flat, compared with the previous year's 198.0 million euros 
($232.75 million). It had expected modest growth. 
    The average value of the dollar  .DXY  fell to a 13-month 
low against a basket of six major currencies last month. 
    The group's recurring core profit for the second quarter 
came in at 65.7 million euros, a 9.1 percent fall compared to 
the same period last year when it benefited from inventory 
write-offs. 
    During the first half, recurring core profit at its 
industrial solutions business fell 16.2 percent, hurt by higher 
raw material prices. 
     
    ($1 = 0.8507 euros) 
 
 (Reporting by Piotr Lipinski; Editing by Edmund Blair) 
 ((piotr.lipinski@thomsonreuters.com; +48 58 772 00 86;)) 
 
Keywords: TESSENDERLO GR OUTLOOK/