* Says adj EBITDA likely to be flat in H2 on weakness in
* Q2 adj EBITDA above consensus helped by pricing power
* Q2 Net income below poll avg on restructuring charges
(Recasts, adds details on outlook)
FRANKFURT, Aug 7 Germany's Lanxess,
the world's largest maker of synthetic rubber, p redicted flat
earnings in the second half on weakness in Europe and slower
growth in Asia but stopped short of curtailing its full-year
Lanxess, which competes with Exxon Mobil in the
rubber market, said it continues to expect 2012 earnings before
interest, taxes, depreciation and amortisation (EBITDA),
adjusted for special items, to rise 5-10 percent, bas ed on
expectations of flat earnings for the remainder of the year.
"In view of increasing economic challenges, Lanxess does not
expect to see any further momentum in the second half of the
year," said company, which makes sy nthetic rubber used in tyres,
tubes and window seals.
It cited weak economic development in Europe, which accounts
for almost half of group sales, moderate growth in Asia and
Latin America and a slowing expansion of the U.S. economy.
The shares were indicated 0.6 percent lower in pre-market
indications provided by brokerage Lang & Schwarz, slightly worse
than the overall German market.
Second-quarter earnings before interest, taxes, depreciation
and amortisation (EBITDA), adjusted for special items, gained
6.8 percent to 362 million euros ($449.4 million) more than the
355 million euros expected on average in a Reuters poll of 11
That was mainly thanks to currency effects and to pricing
power that allowed Lanxess to pass higher feedstock prices along
Quarterly net income of 176 million euros came in about 5
percent below the average estimate, mainly hurt by one-off
charges from closing a German rubber chemicals facility.
($1 = 0.8056 euros)
(Reporting by Ludwig Burger and Frank Siebelt)