Ciba profits fall 53 percent in first half year

(AP) -- Ciba Specialty Chemicals Tuesday reported first-half group profit of SFr121 million ($79.6 million), a fall of 53 percent on the same period last year.

(AP) — Ciba Specialty Chemicals Tuesday reported first-half group profit of SFr121 million ($79.6 million), a fall of 53 percent on the same period last year.

The figure was below analysts’ forecasts of a 40 percent fall. Ciba shares were down 2.4 percent in early trading on the Zurich Stock Exchange.

Group sales rose by 2 percent to SFr4.37 billion ($2.88 billion) in the first half of the year.

Ciba said it expects business to improve in the second half of the year but said pressure on its margins continues and it expects earnings per share to be lower than last year.

The company added that if business continues to improve, there would be a recovery in its results next year.

Ciba shares rose last week on speculation that it would merge with the chemicals company Lonza, which is being spun off as part of the three-way aluminium merger between Alusuisse-Lonza, Pechiney and Alcan Aluminium.
Specialty chemicals are used to enhance the durability, performance, color and feel of materials used to produce clothes, packaging, household appliances, automobiles and other industrial and consumer goods.