BASF agchem sales up 5% in Q3 2013

BASF's agrochemical sales posted a 4.6% increase to €1,054 million in the third quarter ended Sep 30, 2013.Volumes rose by 8%, prices by 4% and portfolio grew by 3%. However, the growth was partly offset by a 10% decrease from adverse currency effects.The acquisition of Becker Underwood also boosted the sales growth.

BASF’s agricultural solutions results (€ million)
Q3 ended Sep. 30	Q3 2013	Q3 2012	% change	Nine-month 2013	Nine-month  2012	% change
Sales	1,054	1,008	+4.6	4,337	3,802	+14.1
EBITDA1	210	204	+3.0	1,267	1,112	+14.0
EBIT2before special items	172	171	+1.0	1,155	1,004	+15.0
EBIT2	168	169	-1.0	1145	1002	+14.0
1 earnings before interest, tax, depreciation and amortisation 2 earnings before interest, tax

Sales rose in Europe due to higher sales prices. BASF’s business with fungicides for speciality crops in Southern Europe and herbicides in Western Europe progressed especially well, the company notes.In North America, BASF achieved a considerable increase in sales. Stronger demand for crop health products and the acquisition of Becker Underwood contributed significantly to sales growth. However, the weaker US dollar reduced sales growth. South America sales increased, particularly for fungicides and herbicides, despite adverse currency effects. Sales declined considerably in Asia, mainly due to negative currency effects. Unfavourable wet weather in India put an additional strain on sales rise.

Sales for the first nine months of 2013 rose by 14.1% to €4,337 million. Earnings before interest, tax, depreciation and amortization(EBITDA) were up by 14% to €1,267 million .Operating profit(EBIT) before special items increased by 15% to €1,155 million.

Operating profit(EBIT) before special items slightly rose by 1% at €172 million for this quarter. Earnings were dampened by negative currency effects and increased investments in research and development, production and distribution, BASF notes.