Johnson Matthey revs up on clean air drive
More scrutiny of car pollution in the wake of the VW diesel emissions scandal is sowing the seeds for healthier sales of catalysts by UK chemicals group Johnson Matthey, it said today.
Johnson has struggled to cope with lower oil prices and the rout in commodities but the push by regulators to make the air cleaner underpinned strong sales of catalysts to big car companies last year.
Sales of emission control technologies rose 7% while its oil chemicals business and precious metals group fell 8%.
VW was caught cheating on diesel emission tests in the US last year and faces huge fines and legal action.
“It’s put a lot of attention on emissions and more focus on getting better tech and Johnson Matthey is part of the solution,” Johnson boss Robert MacLeod said.
“You will get even tighter legislation and that will benefit us. In a few years’ time the emissions out of a diesel car will be the same as a petrol car.”
Full-year revenue for the year ending March rose 7% to £10.7 billion but pre-tax profits fell 5% to £386.3 million. The full-year dividend is up 5% to 71.5p.
Johnson took a £42 million writedown on its fuel cell business.
