Disposals, Etc Lift Hoechst 3rd Qtr Pretax Profit 115%

German chemicals/pharmaceuticals giant Hoechst AG reports pretax profits for the first nine months of 1995 at 3.4 billion Deutschemarks ($2.41 billion), up 103%, and for the third quarter alone, pretax earnings were 115% higher at 1.3 billion marks.

Speaking at a press conference in Frankfurt to announce the results, the company's board of management chairman Jurgen Dormann pointed out that if special factors from the acquisition of Marion Merrell Dow (which along with US diagnostics firm Syva have been consolidated since July 1) and the sales of the cosmetic company Riedel-de Haen are disregarded, profit in the first three quarters was still up 94% at 3.3 billion marks, and 67% higher in the third quarter at 1.0 billion marks.

Group sales for the nine-month period improved by 8% to 39.1 billion marks ($27.74 billion), with volume expansion contributing 6% and increased selling prices up an average 5%. But, the company warned, prices in some cases have come under strong pressure. Moreover, the strong mark, especially against the US dollar, led to a fall in sales of nearly 2.5 billion marks, or a 7% decline. For the third quarter, group sales were up 10% to 12.89 billion marks, with sales abroad 17% higher at 10.40 billion marks and domestic turnover down 12% at 2.49 billion marks.