StockMarketWire.com - Compagnie de Saint-Gobain's third quarter reflected a disappointing economic climate versus its expectations, according to chairman and chief executive Pierre-André de Chalendar.

The group described volumes over the first 9 months of 2015 (down 0.1%) and in Q3 (down 0.3%) were sluggish, hit by construction markets in France. In Q3, the US contracted slightly, Germany stabilised and the UK and Scandinavia reported growth. Emerging countries held firm.

Sales prices were up 0.5% over the 9-month period and in line in Q3 and the group saw a significant 3.6% positive currency impact over the 9-month period, but more limited in Q3 (+1.8%).

de Chalendar said: "The third quarter reflects a disappointing economic climate versus our expectations, with a contraction in France - which is not yet showing any signs of improvement - as well as moderate growth in other Western European countries.

"Plunging sales in the oil and gas industry put the brakes on the US, while emerging markets continued to deliver good organic growth despite the economic slowdown in certain countries including Brazil.

"In this tougher-than-expected, highly uncertain macroeconomic environment, for full-year 2015 the Group expects to at least maintain operating income on a like-for-like basis and expects a continuing high level of free cash flow."




At 8:14am: [LON:COD] Compagnie De Stgobain share price was -2.31p at 37.12p



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