UpdateArkema leads way with strong Q1 results

Le Henaff said he was “very happy” with the first-quarter results, which saw a near doubling of operating profits to €105m ($163m) year on year and earnings before interest, taxes, depreciation and amortisation (EBITDA) grow 19% compared with the first quarter of 2007.

“This is one of the [chemical] industry’s best [Q1] increases,” he added, emphasising the importance of such a positive result in a time of difficult economic conditions.

He did not explain in detail which factors had contributed most to this rise, saying merely sales price increases, restructuring and the introduction of new products were all “very important” in offsetting unfavourable exchange rates and increases in the price of raw materials.

By comparison, compatriot Rhodia recorded a year-on-year drop in its first-quarter net profits earlier this month and said it expected recurring EBITDA of between 0-5% compared with 2007.

Arkema confirmed its 10% EBITDA margin target based on expected continuing improvements in the industrial chemicals and performance products segments.

At 09:32 GMT Arkema's share price was up 9.65% to €41.68 on the Paris stock exchange.

($1 = €0.65)

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