Metal prices drag down Johnson Matthey results

 
Suzie Neuwirth

JOHNSON Matthey today posted a 13 per cent decline in profits for the year, due to a disappointing performance from its precious metals division.

The FTSE 100-listed chemicals and metals company said that revenues were down 11 per cent to £10.7bn.

Operating profit in the metal unit was 27 per cent lower, impacted by lower metal prices, lower volumes and operational issues at the Salt Lake City refinery.

Johnson Matthey had a challenging year, but nevertheless we remain very well positioned to grow our business over the medium and long term,” said chief executive Neil Carson.

“After two very strong years, continued growth in Environmental Technologies Division in 2012/13 was more than offset by a poor performance from our Precious Metal Products Division.

“Although underlying earnings per share in the year were two per cent lower than 2011/12, the board is recommending an increase in the full year dividend of four per cent reflecting its confidence in the medium term prospects for the group.”