FRANKFURT (Reuters) - Germany’s Lanxess (LXSG.DE) raised its forecast for full-year earnings after higher product prices and cost cuts linked to the takeover of specialty additives maker Chemtura bolstered second-quarter results.
The specialty chemicals group said it expected this year’s increase in adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) to be at the upper end of the previous guidance range of five to ten percent.
Second-quarter adjusted EBITDA gained 3.6 percent to 290 million euros ($338 million), broadly in line with an average analyst forecast for 288 million euros in a Reuters poll.
Lanxess for the first time excluded contributions from its stake in Arlanxeo, the synthetic-rubber joint venture set up with Saudi Aramco in 2016, from in quarterly group figures.
The unit now falls under discontinued operations even though Lanxess has vowed to preserve the ownership structure until 2021.
Reporting by Ludwig Burger; Editing by Edward Taylor