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EQS-Adhoc: BASF SE: BASF Group Presents Preliminary Figures for Q3 2022 Announces Cost Savings Program | newsletter

EQS-Ad-hoc: BASF SE / Keyword(s): Quarterly results
BASF SE: BASF Group provides preliminary figures for the third quarter of 2022 and announces cost savings program

12.10.2022 / 14:07 CET / Central Central European
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BASF Group presents preliminary figures for the third quarter of 2022 and announces a cost-saving program

  • Sales and EBIT before special items and EBIT slightly above average analyst estimates
  • Earnings after tax and non-controlling interest 909 million (Q3 2021: 1,253 million) is expected to be significantly lower than the previous quarter and significantly below analysts’ consensus due to the decline in non-cash value
  • Cost saving program of 500 million per year with a focus on Europe and especially Germany due to deteriorating framework conditions
  • Forecasts for fiscal year 2022 remain unchanged

Ludwigshafen October 12, 2022 BASF provides preliminary figures for the third quarter of 2022. Sales and income from operations (EBIT) before special items and earnings before interest and taxes are slightly above analysts’ average estimates.

who – which Earnings after taxes and non-controlling equity Of the BASF group to be 909 million. So the value of the same quarter from the previous year (Q3 2021: 1,253 million) and the average analyst estimate for the third quarter of 2022 (FARA: 1,105 million) are much lower. Earnings after tax and non-controlling interest includes the provision for non-cash valuation of the stake in Wintershall Dea of ​​approximately $740 million. These result from the partial reduction of Wintershall Dea’s stake in Nord Stream AG, which operates Nord Stream 1 pipeline.

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subordinate Sales volume by 12% to reach 21,946 million in Q3 2022 (Q3 2021: 19,669 million). This was mainly due to the high prices. Currency effects, primarily from the US dollar, also had a positive effect. Volumes decreased compared to the same quarter a year earlier. So sales were slightly higher than what analysts averaged expected for the third quarter of 2022 (Fara: 21,076 million).

who – which EBIT before special items It was expected to be 1,348 million in the third quarter of 2022, which is well below the level of the same quarter of the previous year (Q3 2021: 1,865 million) and slightly above the consensus of analysts for the third quarter of 2022 (VARA). : 1,313 million). The increase in the prices of raw materials and energy can only be partly passed through higher selling prices.

who – which EBIT It was expected to be 1,294 million in Q3 2022, well below the figure in the same quarter a year earlier (Q3 2021: 1,822 million) and slightly higher than analysts’ consensus for Q3 2022 ( Fara: 1,285 million).

Version released in July for fiscal year 2022 prospects The BASF group has not changed. EBIT before special items is still expected to be between $6.8 billion and $7.2 billion.

Cost saving program 500 million annually

Against the background of significant profit weakness in Europe, especially in Germany, where the result was negative in the third quarter of 2022, and the deterioration of general conditions in the region, BASF decided on a cost-saving program focusing on Europe and Germany in particular, which will be implemented from 2023 to 2024 become. The potential short-term cost savings are immediate. The program is expected to generate annual non-production cost savings of $500 million upon completion. More than half of the cost savings will be achieved at the Ludwigshafen site. The corporate, service and research areas as well as the corporate center should be simplified.

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Further procedures for medium and long-term structural adjustment of the BASF production network in Europe are currently being developed and will be announced in the first quarter of 2023.

Personnel representatives participate in various actions in relevant bodies.

additional information

The monthly overview of analyst estimates prepared by Vara Research on behalf of BASF is available at: . estimates.

BASF will publish its Quarterly Statement for the Third Quarter of 2022 on Wednesday, October 26, 2022 at 7:00 a.m. and as part of a conference call to reporters (from 9:00 a.m.) and a phone call to analysts and investors (from 11:00 a.m.) to explain.

Dr. Stephanie Wittberg
Investor Relations
+49 621-60-48002
[email protected]

jeans fi
Corporate media relations
+49 621-60-99123
[email protected]

10/12/2022 CET/CEST EQS Distribution Services include legal reporting requirements, company news/financial news and press releases.
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