Cognis announces sales rise, financing costs fall.

In the first six months of 2007, global specialty chemicals company Cognis increased its net external sales by 6.2% to $2.4 billion. Currency effects reduced sales growth to 3.5%, according to the company in a press statement.

The operating result (adjusted EBITDA) of $291 million could match the high level of the first half year in 2006 despite a massive rise in raw material costs, especially for natural oils and fats. Together with a successful cost management, the necessary selling price increases could be achieved in many areas, but will show effect with the usual time delay. Return on sales (adjusted EBITDA as a percentage of sales) stood at 12%. Earnings before interest and taxes (EBIT) fell slightly, 1.4%, to $161 million. Excluding exceptional items, Cognis recorded a net profit of $53 million.