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Ashland warns that shipping, logistics and packaging challenges are weighing on performance

Specialty materials company Ashland Global Holdings Inc. (ASH) said Monday that continued challenges in shipping, logistics and packaging are hampering its ability to meet strong customer demand. "Specifically, accounting for on-time freight and logistics unreliability over the past few months, Ashland now anticipates fiscal year Adjusted EBITDA could be up to $10 million below the low-end of the previously communicated range of $570 million to $590 million," the company warned in a statement. The company signed an agreement in its fiscal fourth quarter to sell its Performance Adhesives business to Arkema for $1.65 billion and plans to issue restated historical financial statements reflect that change before it releases fourth-quarter earnings. Shares were down 0.3% premarket but have gained 17% in the year to date, while the S&P 500 has gained 18.6%.

-Ciara Linnane

 

(END) Dow Jones Newswires

09-27-21 0715ET

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