05 May 2009 07:21 [Source: ICIS news]
SINGAPORE (ICIS news)--German industrial gases company Linde reported on Tuesday a 28% decline in its first quarter net profits to €115m ($154m) citing “substantial falls in demand” and negative foreign exchange effects.
"There is currently no evidence to suggest a swift recovery. It is therefore our responsibility as entrepreneurs to do everything we can to survive this difficult economic phase relatively unscathed,” said Linde CEO Wolfgang Reitzle.
The company said the financial results during the quarter included €20m in restructuring costs, a reversal of the €15m gain recognized in the same period last year.
Sales for the three months to March fell 7.6% to €2.70bn while operating profits was down 10.6% year-on-year to € 538m.
On a business segment level, turnover at its gas division fell 6.3% to €2.16bn while sales at the company’s engineering department was marginally up at €549m.
Looking forward, Linde warned of weaker performance for its gas division given the slump in the global economy, while its engineering business may be stable given high order backlogs.
(€1 = $1.34)
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