StockMarketWire.com - UK chemicals business Synthomer said that as trading in the first quarter had, overall, been in line with expectations, it had left its full-year outlook unchanged.

It said trading at its Performance Elastomers unit was "solid", with its Nitrile Butadiene Latex continuing to benefit from the additional 90KT of capacity introduced in the fourth quarter of 2018 at its Pasir Gudang site. Good demand had resulted in higher Nitrile volumes and improved unit margins relative to a strong comparative period in 2018. However, Styrene Butadiene Rubber market conditions had remained "challenging" with the subdued demand seen in 2018's fourth quarter continuing during the early first quarter of 2019.

The Functional Solutions business unit had made "good progress" in the first quarter. Whilst reported volumes were lower than the strong comparative period due to the slower start to the year in Europe and the sale of 51% of the firm's Dubai operations in July 2018, unit margins were stronger.

Further, the expansion of its Worms, Germany and Roebuck, US dispersions facilities were on track to be commissioned in the second quarter of 2019.

Results at the Industrial Specialities unit were also in line with expectations. The business experienced a slower start to the year compared to 2018, particularly in Europe, but the company said it was "pleased with the improving trend during Q1, and the end-of-quarter exit rates".




At 8:57am: [LON:SYNT] Synthomer share price was -4.4p at 408p



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