Solar slump pushes wacker chemie into loss zone
As already announced, a high write-off in the solar business has pushed wacker chemie deep into the red in 2019.
The specialty chemicals group in munich announced a loss of 630 million euros, compared with a profit of 260 million euros in the previous year, based on preliminary figures.
But in day-to-day business, too, the pressure on prices for solar silicon and silicones and higher electricity costs in germany meant that less remained than in the previous year. Earnings before interest, taxes, uk stock market news analysis depreciation and amortization (ebitda) fell by 16 percent to 780 million euros in 2019. Without insurance payments of 112.5 million euros in connection with a loss event in 2017 at the charleston site in the u.S., operating profit would have fallen even more significantly.
Sales held up comparatively well in 2019, falling by one percent to 4.93 billion euros. Higher volumes and the weaker euro against the US dollar partly offset lower selling prices. Analysts had hoped for slightly higher sales on average.