Fuchs First-Half Profit Beats Estimates, Sticks to 2012 Goals
Fuchs Petrolub AG (FPE), the world’s largest independent lubricants maker, reported first-half profit that beat analyst estimates and said it still expects earnings to gain this year as the economic climate is “satisfactory.”
Earnings before interest and taxes gained 8.9 percent to 145.4 million euros ($178.2 million), the Mannheim, Germany- based company said today in an e-mailed statement. Analysts had predicted 142.3 million euros, according to a Bloomberg survey.
Chief Executive Officer Stefan Fuchs is also sticking to a full-year target to increase revenue as the company boosts its sales force and seeks acquisitions. Competition for assets has increased as Lubrizol Corp., bought by Warren Buffett’s Berkshire Hathaway Inc. (BRK/A) last year, seeks to boost revenue 60 percent to $10 billion with the help of two or three deals a year, CEO James Hambrick said in April.
“The global economic situation worsened in the second quarter of 2012,” Fuchs said in the statement. “Fuchs still assesses the economic situation as satisfactory and expects to continue to grow sales in the second half.”
Sales gained 11 percent to 910 million euros and net income rose 11 percent to 101.9 million euros in the first half, said the company, which is majority owned by the Fuchs family. Analysts had expected 899.8 million euros in revenue.
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