Neste, a leading fuel company, has issued a profit warning on Tuesday evening after revising its estimates for the comparable sales margin of renewable products. The company now expects the average sales margin for renewable products to be between $480 and $650 per ton this year, down from its previous estimate of $600-800 dollars per ton. Despite this change in outlook, other aspects of the company’s business plan for the year remain unchanged.
The decline in diesel prices and ongoing drop in biofuels and biotics prices in the US have influenced Neste’s expectations regarding the sales margins of renewable products. However, stable prices for waste and residual raw materials have also been observed. The head of Neste’s renewable products business, Katja Wodjereck, recently resigned from her position, with Carl Nyberg taking over temporarily. The renewable products business is critical to Neste’s future growth as it continues to be a key area of focus for the company.
Meanwhile, Neste’s current CEO Matti Lehmus is stepping down from his role as CEO at the beginning of November at the latest. This news has coincided with a significant decline in Neste’s share price over the past year. According to the company, various factors affecting market prices have contributed to this decline.
Despite these challenges, Neste remains committed to its mission of providing sustainable solutions for a cleaner future through innovative technologies and collaborations with stakeholders across industries.
