Plastics Industry News
繁體 | 简体
Technology
Applications
CPRJ Webinar Ad
MAAG PUMP SYSTEMS AG
Main > Daily Market News > Article Content
| Print | Submit Article |
Last Page | More | Next Page
Keywords of this article:  automotive 
To contact the supplier/company mentioned in this article, please email to:
mediaoperation@adsale.com.hk
More suppliers
Close
BASF Group’s important figures in Q1 2019.
BASF Group’s important figures in Q1 2019.

BASF Group recently announced its financial figures in Q1 2019. The Group sales rose by 3% year on year to €16.2 billion. Compared with Q1 2018, income from operations (EBIT) before special items declined by €549 million to €1.7 billion.

“As expected, this is primarily due to the considerably lower contributions from the Materials and Chemicals segments. In these segments, we had exceptionally high isocyanates margins and strong cracker margins in the first quarter of the previous year,” said Dr. Martin Brudermüller, Chairman of the Board of Executive Directors of BASF SE.

Global economic growth in the first quarter of 2019 was shaped by geopolitical developments and trade conflicts, especially between the United States and China. The generally subdued market sentiment was reflected in the wait-and-see attitude of many customers. Consequently, BASF Group experienced weakening demand from key customer industries, especially the automotive sector.

Business development in the segments

Sales in the Chemicals segment [comprising Petrochemicals and Intermediates] declined by 13% compared with Q1 2018 to €2.5 billion. The Petrochemicals division in particular saw a considerable decline in sales, while the Intermediates division recorded a slight decrease. Sales development was driven by lower volumes and prices in both divisions.

In the Materialssegment [comprising Performance Materials and Monomers], sales of €2.9 billion were down by 15% compared with Q1 2018. The sales decline was seen in both the Monomers and Performance Materials divisions and was primarily due to lower isocyanates prices in the Monomers division.

In the Industrial Solutions segment [comprising Dispersions & Pigments and Performance Chemicals], sales of €2.2 billion were 2% lower than in the prior-year quarter. Sales in the Dispersions & Pigments division were on a level with the first quarter of 2018, while sales in the Performance Chemicals division declined slightly. The year-on-year decrease was primarily due to the transfer of BASF’s paper and water chemicals business, which was previously reported under Performance Chemicals, to the Solenis group.

Compared with the first quarter of 2018, sales in the Surface Technologies segment [comprising Catalysts, Coatings and Construction Chemicals] increased by 13% to €3.6 billion. There was particularly strong sales growth in the Catalysts division. Sales also rose considerably in the Construction Chemicals division and were on a level with the prior-year quarter in the Coatings division. The sales increase was attributable to higher prices in all divisions as well as positive currency effects and volumes growth in the Catalysts and Construction Chemicals divisions.

Outlook for 2019 confirmed

BASF’s expectations for the global economic environment in 2019 remain unchanged:

  • Growth in gross domestic product: 2.8%
  • Growth in industrial production: 2.7%
  • Growth in chemical production: 2.7%
  • Average euro/dollar exchange rate of $1.15 per euro
  • Average Brent blend oil price for the year of $70 per barrel

BASF confirmed the sales and earnings forecast for the BASF Group made in the BASF Report 2018 and expected slight sales growth as well as a slight increase in EBIT before special items, which is likely to be at the lower end of the range of 1% to 10%. Return on Capital Employed (ROCE) is expected to be slightly higher than the cost of capital percentage, with ROCE slightly lower than in 2018.

Related Articles  
BASF plastic additive sees sustainability ...
BASF expects up to 30% decline for EBIT in...
BASF teams up with Tsinghua University in ...
We are collecting readers' comment for improving our website. If you are willing to help, please CLICK HERE to complete a survey. Your comments matter.
Write a mail to the editor
Share to

Copyright © Adsale Publishing Limited. Any party needs to reprint any part of the content should get the written approval from Adsale Publishing Ltd and quote the source "China Plastic & Rubber Journal (CPRJ)", Adsale Plastics Website - www.AdsaleCPRJ.com. We reserve the right to take legal action against any party who reprints any part of this article without acknowledgement. For enquiry, please contact Editorial Department.  [Want to use this report?]
Name
Company Name
Job title
Email (will not be published)
Comment
Recent Comment
Legal Statement | Privacy Policy
Remarks: Publication of the comments is at editor's discretion.
Register a New Member
上海ABB工程有限公司
阿科玛(中国)投资有限公司上海分公司
Medical conf.
COPERION GMBH
东莞捷佳塑胶科技有限公司
东莞市思为客自动化科技股份有限公司
广东伊之密精密机械股份有限公司
Kampf Schneid- und Wickeltechnik GmbH & Co. KG
东华机械有限公司
裕克施乐塑料制品(太仓)有限公司
富强鑫精密工业股份有限公司
海天塑机集团有限公司
泰瑞机器股份有限公司
日钢注塑机維修(深圳)有限公司
K2019

Supplier Highlights
GUANGDONG YIZUMI PRECISION MACHINERY CO., LTD. HAPPYWAY AUTOMATION CO., LTD.
KAMPF SCHNEID- UND WICKELTECHNIK GMBH & CO. KG MAAG AUTOMATIK PLASTICS MACHINERY (SHANGHAI) CO., LTD.
OECHSLER PLASTIC PRODUCTS (TAICANG) CO., LTD. WELLTEC MACHINERY LTD.