Johnson Matthey chief hits back at chatter over break-up

Johnson Matthey chief executive Robert MacLeod on Thursday shot down City talk of a break-up of the chemicals group saying it “would destroy the value of what makes JM great”.

Splitting up the four-headed business is a possible option, some City analysts say, and shares got a share lift last month on reports an activist investor had taken a stake, prompting speculation the FTSE 100 could come under pressure to pursue the plan.

MacLeod said: “There’s lots of interactions between our scientists at different levels throughout the organisation which drives growth.

“There’s always bits you could make any argument about, but the core bits of JM, which are the four segments, absolutely do fit together.”

Headline profits fell by a third, dented by factory write-offs and a £50 million legal settlement.

Under the bonnet, the company is chugging along nicely, with catalyst sales for cars and trucks outpacing the number of vehicles produced globally and JM making progress on commercialising battery materials.

Revenues rose 17% to £14.2 billion.