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1ST HALF: BASF'S NET SALES DOWN 1.5%; NET INCOME DOWN 50%: $887 MILLION
Jul. 30, 2025
Source: BASF news release
Ludwigshafen, Germany -- In the second quarter of 2025, BASF generated EBITDA before special items of around €1.8 billion. "The Agricultural Solutions segment recorded significantly higher earnings and achieved remarkable volume growth of 21 percent compared with the prior-year quarter," said Dr. Markus Kamieth, Chairman of the Board of Executive Directors of BASF, presenting the quarterly figures together with Chief Financial Officer Dr. Dirk Elvermann. The Surface Technologies and Nutrition & Care segments achieved slightly higher earnings. In the base chemicals businesses, margins remained under pressure due to high product availability on the market.
BASF Group's sales in the second quarter of 2025 amounted to €15.8 billion, €342 million below the level of the prior-year period. The main drivers of this development were negative currency effects as well as lower prices. The decline in prices was largely attributable to the Chemicals segment, whereas prices improved in the Surface Technologies and Nutrition & Care segments. Positive volume growth in the Agricultural Solutions, Surface Technologies and Materials segments partially offset the decline in sales.
Compared with the prior-year quarter, income from operations before depreciation, amortization and special items (EBITDA before special items) decreased by €185 million to €1.8 billion. This was mainly due to the considerable earnings decline in the Chemicals segment resulting largely from lower margins. The Industrial Solutions and Materials segments also recorded an earnings decline. By contrast, Agricultural Solutions in particular, but also Surface Technologies achieved earnings growth. The Nutrition & Care segment also recorded an earnings increase. EBITDA before special items in Other fell considerably compared with the prior-year quarter. The EBITDA margin before special items was 11.2 percent following 12.1 percent in the prior-year quarter.
EBITDA amounted to €1.5 billion following €1.6 billion in the prior-year period. In the second quarter of 2025, EBITDA included special items in the amount of minus €297 million. Special charges resulted primarily from structural measures in connection with cost saving programs. At €494 million, EBIT was €22 million below the prior-year quarter's figure. The €112 million decline in net income from shareholdings was primarily due to negative earnings contributions from Wintershall Dea GmbH and Harbour Energy plc. The financial result improved by €52 million compared with the prior-year quarter to minus €106 million. Accordingly, income before income taxes amounted to €316 million, €82 million below the prior-year quarter's figure. Net income was €79 million, compared with €430 million in the prior-year quarter.
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