Page 152 - CW E-Magazine (26-3-2024)

News from Abroad

stably as possible and to be in the best income from continuing operations was second quarter, Lanxess anticipates a
possible position when times improve significantly down from the previous moderate increase in sales volumes.
again. With our “Forward!” action plan, year’s figure of €184-mn. The decline
we have taken the right steps at an early resulted primarily from the development “We assume that the inventory reduc-
stage,” said Mr. Matthias Zachert, of operating earnings and impairment on tion among our customers is complete,
CEO, Lanxess. goodwill from acquisitions. with the exception of the agrochemicals
sector. In addition, we expect long-term
At €443-mn, net income in 2023 was Forecast cost savings from our “Forward!” action
significantly higher than the previous Lanxess expects the environment to plan. However, earnings will still be
year’s figure of €250-mn. This was parti- remain challenging, at least in the first significantly below the average level of
cularly due to the proceeds that Lanxess half of 2024. The Group consequently previous years. In 2024, we will there-
received from Advent International as a foresees no improvement in the first fore continue to work on our positioning
result of the transaction for the forma- quarter of 2024 compared with the and processes and strengthen our finan-
tion of Envalior. At minus €843-mn, net fourth quarter of 2023. Starting in the cial base,” said Mr. Zachert.
EXPANSION
Pearl Group doubles production capacity

in Saudi Arabia

Pearl Group, the UAE-based The capabilities of Pearl’s Jeddah hub
specialist in polyurethane (PU) insulation have been further enhanced with the
solutions and other PU-based applica- development and execution of a dedicated
tions, has doubled its production capa- supply chain strategy for the Kingdom.
city in Saudi Arabia. This strategy will make same-day
deliveries possible in Riyadh and other
Strategically located in Jeddah, demand clusters. Since launching its
Pearl’s production and storage facility ‘PearlX2’ growth strategy in 2021, with
was established in 2023 and is aligned the target of doubling Pearl Group’s
with Saudi Arabia’s stated aim to business within five years, the PU solutions
localise production. Doubling production Saudi Arabia, and being close to our provider has set its sights on geographical
capacity in the Kingdom will help customers, having the right capabilities expansion and product diversification. In
Pearl to manufacture 100% of customer to meet their evolving demands, and the years that have followed, Pearl Group
requirements in Saudi and neighbouring ensuring we have the best people in has invested in its three production faci-
countries, utilising the Jeddah plant place to provide technical expertise are lities based in the UAE and has launched
as a regional hub, reducing logistical pivotal to ensuring Pearl can support production and distribution hubs in Saudi
complexities and costs. this growth. That’s why, in addition to Arabia, Egypt and India. The establish-
expanding our manufacturing capabi- ment of a production and warehouse
Ms. Leslie Gyertson, Chief Operat- lities, we have appointed a dedicated facility in Jeddah has played a pivotal role
ing Officer of Pearl Group, said, “We sales manager, Mr. Kamal Ammareen, in enabling Pearl Group to achieve signi-
have witnessed tremendous growth in for Saudi Arabia”. ficant year-on-year growth.

Neste completes organisational restructuring

Finland’s Neste has announced its functions to better support busi- be reduced has been confirmed at about
the completion of its “organisational ness-driven ways of working. 320. In addition, it is estimated that 70
change” process, announced on 1 job roles will be reduced globally.
November 2023. Neste informed that The planned organisational changes
it will merge its three renewable busi- were expected to lead to a reduction of The restructuring is expected to
ness units into one Renewable Pro- approximately 400 job roles globally. result in total annual cost savings of
ducts business unit as well as restructure In Finland, the number of job roles to approximately €50-mn.

152 Chemical Weekly March 26, 2024

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