Synthomer has issued a reasonably upbeat AGM statement, pointing to a strong first half, though the chemicals group was careful to flag that the wider backdrop remains anything but settled.
The FTSE-listed maker of speciality polymers said it was on track for solid progress on revenue, EBITDA and margins over the first six months, with all three divisions building momentum through the year.
Coatings & Construction Solutions led the way from January, helped by cost savings and targeted growth bets such as industrial coatings for data centres, while Adhesive Solutions held steady.
A slower start in parts of the Health & Protection and Performance Materials arm faded as the quarter wore on.
But the firm said trading accelerated through April and May, and a chunk of that came from an unexpected source in the outbreak of conflict in Iran. The disruption knocked competitors’ supply chains, particularly Asian rivals, and Synthomer’s “in region for region” manufacturing footprint left it well placed to step in.
Health & Protection volumes jumped as customers switched suppliers and pre-bought to bolster their resilience. Rising raw material and energy costs, meanwhile, were passed straight through to customers. The upshot: Q2 volume, margin and EBITDA growth all came in ahead of expectations.
Despite an uncertain macro picture, the group expects financial progress to continue for the full year.
Michael Willome, Synthomer CEO, said: “We are very pleased with how the business has performed so far in 2026, reflecting our sustained commitment to our strategic transformation, consistent focus on ‘controlling the controllables’, all accelerated in Q2 by our agility and ability to reliably deliver for our customers in the disrupted operating conditions resulting from the Iran conflict.”
“The market environment remains uncertain and so our focus is on continuing to deliver our speciality strategy, including divestments, to strengthen our balance sheet and support further improvement in Synthomer’s sustainable earnings potential.”