Elementis FY profit seen slightly ahead of expectations after 'resilient' Q4

18th Jan 2024 08:04

(Sharecast News) - Specialty chemicals company Elementis said on Thursday that 2023 profit was set to be slightly ahead of expectations after a "resilient" fourth-quarter performance.

In an update for the three months and year ended 31 December 2023, the company hailed strong profit and revenue growth in Q4, compared with a weak period in 2022.

As a result, adjusted operating profit for the year is expected to be between $102m and $104m, versus expectations of $102m and up on the prior year's $100.5m.

"Implementation of the growth and efficiency platforms presented at the November 2023 capital markets day is on track," Elementis. "We remain committed to delivering our financial targets, including an operating margin of above 19%, by 2026."

The company also said that net debt at the end of the 2023 financial year is expected to be around $201m, ahead of expectations of $229m and below 2022's $367m.

At 0815 GMT, the shares were up 3.1% at 121.20p.