Investment: Elementis hit by strong pound
Friday 07 August 1998
All this has weighed heavily on the shares which were battered further by ICI's profits warning last month.
This is harsh on a company which has completely re-invented itself under its chief executive, Bill Turcan. It has jettisoned its conglomerate tag by selling its timber, petfoods and agricultural foodstuffs operations to concentrate on speciality chemicals. It has bought Rheox, a maker of additives for paints, for pounds 277m and returned pounds 402m to shareholders. The only part still up for sale is the BOCM Pauls animal feeds business which is expected to go its management for around pounds 65m.
With Rheox, Elementis is now a world leader in additives for paints. Its other main division, chromium, is a major force in the world market and this business improved profits to pounds 17m from pounds 16m in the half.
However, there is work to do. The pigments business, which has been hit by the loss of a major US customer and weak demand in Europe, is being re-structured as costs in America are too high. This is on schedule to deliver substantial cost saving from the year 2000.
On analysts' full-year forecasts of pounds 67m, the shares - unchanged at 138.5p yesterday - trade on a forward multiple of 12. Given the volatility in the sector that seems about right.
- 1 What if 35 Palestinians had died, and 800 Israelis?
- 2 Disney heiress Abigail disowns her share of family profits in West Bank company
- 3 The secret report that helps Israel hide facts
- 4 'Women should not laugh in public,' says Turkey's Deputy Prime Minister in morality speech
- 5 Ross Burden dead: MasterChef and Ready Steady Cook star dies at age 45 after suffering from cancer
A former custard factory, a Midlands bog and a Leeds cemetery all included in top 50 hidden spots in the UK
Disney heiress Abigail disowns her share of family profits in West Bank company
'Women should not laugh in public,' says Turkey's Deputy Prime Minister in morality speech
Richard Dawkins tweets: 'Date rape is bad, stranger rape is worse'
Ross Burden dead: MasterChef and Ready Steady Cook star dies at age 45 after suffering from cancer
The secret report that helps Israel hide facts
Woman and two children killed by mob in riots over 'blasphemous' Facebook post in Pakistan
A day in the life of Vladimir Putin: The dictator in his labyrinth
Putin is 'thuggish, dishonest and reckless', says British ambassador to US
Boozy, ignorant, intolerant, but very polite – Britain as others see us
A new Russian revolution: The cracks are starting to appear in Putin’s Kremlin power bloc
- < Previous
- Next >
iJobs Money & Business
£350 - £400 per day + competitive: Orgtel: Senior Analyst, ALM Data, Halifax, ...
£500 - £600 per day: Orgtel: Java developer - Banking - London - Up to £600/d...
£400 per day + competitive: Orgtel: Liquidity Reporting - Basel III - LCR - Ba...
Negotiable: Harrington Starr: Client Services Associate (Microsoft Office, Ana...