UPDATE 1-Kemira Q2 EBIT tops f'casts, upbeat on '09 profit

Thu Jul 30, 2009 2:54am EDT

* Q2 EBIT 51.4 mln euros vs 37 mln avg f'cast

* Sees higher underlying 2009 EBIT from continuing ops

* Sees weaker 2009 revenues

HELSINKI, July 30 (Reuters) - Finnish chemicals group Kemira (KRA1V.HE) reported forecast-topping second-quarter earnings on Thursday, powered by cost-cuts and past price hikes, and the firm struck an upbeat tone for full-year profits.

"We are confident that our operating profit excluding non-recurring items in continuing businesses will be higher this year compared to last year," the firm said in a statement.

Kemira's April-June operating profit jumped 31 percent year-on-year to 51.4 million euros ($72.7 million), topping all estimates in a Reuters poll where the average forecast was for a profit of 37 million.

Net sales fell 12 percent versus a year ago to 651 million euros, a touch below expectations of 657 million in the poll.

"The decrease in sales volumes in several customer segments was for the main part compensated by the sales price increases implemented in the second half of last year," Kemira said.

Fixed costs in April-June were 22 million euros lower than in the same period a year earlier, it added.

(editing by John Stonestreet)

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