Huntsman reports Q1 loss as recession hits demand

09 May 2009

Chemicals maker Huntsman Corp on Friday, reported a first-quarter loss on weak demand in the recession. It posted a net loss of $290 million, or $1.24 per share as against a profit of $7 million or 3 cents per share, in the same per last year.

Revenue fell to $1.69 billion, a 33 per cent drop from $2.54 billion a year earlier.

According to analysts, a first-quarter loss of 22 cents per share on $2.2 billion was expected. Their projections usually exclude one-time items.

The period saw a drop in sales at all five of the company's business segments.

President and chief executive Peter R Huntsman said in a statement, that the company's results for the first quarter of 2009 reflected decreased demand in all businesses due to the worldwide economic slowdown.

He added that while demand during the period was worse than in the fourth quarter of 2008, it seems to be picking up as the company enters the second quarter. The first quarter has been the worst quarter for the chemical sector according to industry sources.