BASF reports increased Q3 earnings

GERMANY – BASF, a renowned ingredients and chemicals, BASF has published its financial results for the third quarter of 2024, revealing that the company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) before special items rose by US$100.1 million, reaching US$2.08 billion. 

Dr. Markus Kamieth, Chairman of the Board of Executive Directors, noted that the positive earnings trend in the core sectors was evident in the first half of the year and persisted into the third quarter, primarily fueled by improved volumes and profit margins. 

Following the new strategy unveiled in late September 2024, BASF distinguishes between its core businesses—Chemicals, Materials, Industrial Solutions, and Nutrition & Care—and the standalone operations, which cater to specific industries. 

The standalone segments are categorized under Surface Technologies and Agricultural Solutions.

Sales for the quarter remained steady at US$20.41 billion, matching the figures from the same period last year. 

Growth in volume across nearly all segments compared to Q3 2023 positively influenced sales. 

Volume increases were noted in both core businesses and Agricultural Solutions. 

Conversely, the Surface Technologies segment experienced a decline in volumes within its Catalysts division, attributed to diminished demand in the automotive sector. 

The EBITDA margin before special items improved to 10.3%, up from 9.8% in the same quarter of the previous year. 

In the core businesses, the EBITDA margin before special items saw a significant increase of 3.6 percentage points, reaching 13.4% in Q3 2024, compared to 9.8% a year earlier.

The total EBITDA stood at US$1.69 billion, down from US$1.82 billion during the prior year’s quarter. 

Operating profit (EBIT) was reported at US$325 million, reflecting a decrease of US$187.2 million from the same quarter last year. 

Depreciation and amortization expenses increased to US$1.3 billion, compared to US$1.26 billion during the previous year’s quarter.

Net income rose to US$373 million, a significant turnaround from a loss of US$323.7 million reported in the prior-year period. 

This increase was mainly attributed to higher net income from shareholdings, particularly a special income of US$517.4 million linked to the asset transfer of Wintershall Dea to Harbour Energy plc. 

The previous year’s quarter included special items amounting to minus US$378.3 million from Wintershall Dea.

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