Johnson Matthey ahead of consensus

27th Jan 2010 07:10

Platinum specialist Johnson Matthey expects results this year to come in slightly better than market estimates as recovery comes through in a number of markets.Group sales excluding precious metals for the third quarter were 9% ahead of the same period last year. Operating profit before amortisation was 10% up on the third quarter of 2008/09. Underlying profit before tax (before amortisation) was 20% higher than the third quarter last year as the group continued to benefit from reduced interest costs due to lower borrowings and low interest rates.Overall, the results for the full year for the group are expected to be "slightly ahead of current market consensus expectations," the statement added. Forecasts for 2009 the year to March are in a range from £229m to £273m with a consensus of £242m.Johnson added that demand for its platinum-based vehicle exhaust catalysts had picked up with the 20% increase in car production in the past quarter.Precious Metal's sales and profits were, as expected, lower than this time last year, though platinum group metal (pgm) prices steadily improved in the quarter, with average platinum prices of $1,397/oz, up 13% compared with the last quarter.