Q2 adjusted EBITDA up 13 at forecastbeating 1.78 bln euros
Not counting currency gains, profit growth was only 3.2
Cost inflation not fully reflected in price markups
Aug 4 Reuters Germany39;s Merck KGaA saw adjusted earnings rise 13.1 in the second quarter as higher revenues from its biotech lab equipment and its chemicals for semiconductor production were further bolstered by currency tailwinds.
Secondquarter earnings before interest, taxes, depreciation and amortisation EBITDA, adjusted for oneoffs, rose to 1.78 billion euros 1.81 billion, surpassing the average estimate of 1.71 billion in an analyst poll on the company39;s website.
But gains in the U.S. dollar, Chinese yuan and Taiwanese dollar, which boosted the value of overseas sales, masked a challenging rawmaterial price environment as the company was not able to pass all of the cost increases along to customers.
Adjusted EBITDA would have risen only 3.2 without the currency tailwinds.
We continued to deliver despite major external challenges in our operating environment, said Chief Executive Belen Garijo.
As previously, the diversified group predicted growth of 5 to 9 in fullyear adjusted EBITDA, excluding the effect of currency swings and any acquisitions, but it said foreign exchange impact would be more favourable than earlier forecast.
Fullyear earnings figure would now likely come in between 6.75 billion and 7.25 billion euros, compared with a previous target range of 6.6 billion to 7.1 billion…