Clariant, a focused, sustainable, and innovative specialty chemical company, today announced that the investigation of accounting issues related to provisions and accruals (as disclosed by Clariant on 14 February 2022) conducted by independent advisors and external counsel (Deloitte and Gibson, Dunn & Crutcher), has been concluded, said the company.
After reviewing the results of the investigation, the Board of Directors has determined the need for a restatement of the 2020 financial statements and corrections to the quarterly reporting of key financial data for 2020 and 2021.
"We appreciate that our employees brought this matter to our attention, and I am glad that we have now concluded the investigation and can leave this matter behind us. As part of our purpose-led strategy, it remains our utmost priority at Clariant to continue to strengthen a culture built on the highest ethical standards. Following a thorough investigation, we have closely reviewed its results and are committed to further strengthening our controls and processes,” said Conrad Keijzer, Clariant’s Chief Executive Officer.
The identified deviations from previously reported figures resulting from the restatement of the 2020 financial statements are due to over- or understated provisions or accruals. The preliminary corrected 2020 figures result in a continuing operations EBITDA of CHF 597 million compared to the previously reported CHF 578 million and a corresponding EBITDA margin of 15.5 % compared to the previously reported 15.0 %. The preliminary figures 2020 and 2021 are subject to the processing of the financial restatement bookings in Clariant’s accounting systems and completion of the external audit, hence minor deviations might occur.
Based on preliminary, unaudited figures, Clariant currently expects a Full Year 2021 continuing operations EBITDA of CHF 708 million and a corresponding EBITDA margin of 16.2 %, in line with the guidance confirmed on 14 February 2022. The results of the investigation have no impact on the sales, cash and cash equivalents figures reported in 2020 and 2021.
As MRC wrote previously, Clariant has recently announced that its StyroMax UL3 catalyst is demonstrating successful results at Risun’s new styrene monomer (SM) plant located in Tangshan, China.
We remind that in October 2020, Clariant announced the construction of a new state-of-the-art catalyst production site in China. This project represents a significant investment which further strengthens Clariant’s position in China and enhances its ability to support its customers in the country’s thriving petrochemicals industry.
Clariant AG is a Swiss chemical company and a world leader in the production of specialty chemicals for the textile, printing, mining and metallurgical industries. It is engaged in processing crude oil products in pigments, plastics and paints.
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