BASF agchem sales up 26% in Q3 2018 on the portfolio effects from the acquisition of significant businesses and assets from Bayer

Date:10-30-2018

BASF’s Agricultural Solutions segment sales increased 26% to €1243 million in the third quarter of 2018 year-on-year. This was attributable to portfolio effects from the acquisition of significant businesses and assets from Bayer in August 2018, a higher price level and slightly stronger volumes. Negative currency effects continued to weigh on sales development.

Sales declined slightly in Europe, mainly as a result of lower sales volumes for herbicides and fungicides following the extreme weather conditions and long dry period in central and western Europe in particular.

In North America, sales considerably exceeded the prior-year figure. This was primarily due to portfolio effects from the acquired businesses as well as to a higher price level.

Sales in Asia were up slightly year on year as a result of positive portfolio effects and higher prices. Sales growth was tempered by negative currency effects.

The region South America, Africa, Middle East posted considerable sales gains. This was mainly driven by higher prices and sales volumes, particularly for fungicides and insecticides. The acquired businesses contributed to the increase in sales. Negative currency effects had an offsetting impact.

Despite the seasonally strongly negative results of the businesses acquired from Bayer, income from operations before special items was down only €26 million on the prior-year quarter. Income generated by BASF operations excluding Bayer activities rose considerably compared with the third quarter of 2017. Excluding the negative currency effects, EBIT before special items also increased slightly overall.