Issue 10/2018 - The chemical giant's first quarter results at a glance

The first quarter results of chemical giants at a glance

DowDuPont's operating EBITDA rose 6 percent
year-over-year to $4.
9 billion in the first quarter of 2018.
Net sales increased 5% year-over-year to $21.
5 billion, with growth in
most segments and geographies.
Among them, sales in the Materials Science business unit increased by 17% and sales in the Specialty Products business unit increased by 11%.

Operating EBITDA is expected to increase in all divisions in the second quarter, including more than 30 percent in Agriculture, more than 10 percent in Materials Science and approximately 20 percent in Specialties.
Operating EBITDA is expected to grow by approximately 15 percent
in the first half of 2018.
Going forward, the company's strategic priorities are: the implementation of operational and financial plans, including the implementation of business growth projects and the launch of new innovation projects; Achieve cost optimization goals; The planned spin-off
of the three companies is carried out according to the established schedule.


LANXESS achieved sales of around €2.
565 billion in the first quarter of 2018, up almost 7 percent year-on-year, achieving the best quarterly results
in history.
Conventional EBITDA amounted to €375 million, up 14 percent
year-on-year.
The EBITDA ratio reached 14.
6%, up nearly one percentage point
year-on-year.
Net profit reached 96 million euros, up 23%
year-on-year.
EBITDA is expected to increase by 5%~10%
in the "New LANXESS" business segment (including only high-quality intermediates, special additives, high-performance chemicals, and engineering materials) in fiscal 2018.


BASF benefited from higher earnings in the Chemicals and Oil & Gas segments, with EBIT before special items rising by 2 percent
to €2.
5 billion in the first quarter of 2018.
Sales in the first quarter decreased by 1 percent to EUR 16.
6 billion and net income decreased by EUR 30 million
to EUR 1.
7 billion, as all segments were impacted by negative currency effects (minus 8%).
BASF expects a slight increase in sales in 2018 through volume growth, a slight increase in EBIT before special items, and a slight decline
in EBIT.


Covestro's Group sales rose by 5.
4 percent to €3.
8 billion in the first quarter of 2018, driven mainly by the polyurethane and polycarbonate segments
.
Core business volumes remained at a high level in the first quarter, with EBITDA reaching EUR 1.
1 billion, up 25.
7% year-on-year.
Net profit increased by 37.
6 percent to EUR 644 million
.
On the basis of continued strong demand and efficient investments, the company will further achieve organic volume growth, and EBITDA in the second quarter of 2018 is expected to be significantly higher than the same period last year.
The company's core business volumes are expected to grow by a single-digit percentage in 2018, with 2018 EBITDA estimated to be at the same level
as in 2017.


Corning's net GAAP net sales for the first quarter of 2018 were $2.
5 billion, up 5% year-over-year and 5% sequentially, and net income was $589 million
.
The company has several businesses operating at full capacity and expects continued growth
in the Optical Communications, Specialty Materials, Environmental Technologies and Life Sciences divisions.
The company also has several capacity expansion plans underway, the benefits of which are expected to accelerate sales and profit growth
in the second half of 2018.
The company's expectations for strong performance in 2018 remain unchanged and will steadily deliver full-year sales
of approximately $11 billion as the investment pays off, as well as capacity expansion and profit increases in the second half of the year.


Huntsman's net income for the first quarter of 2018 was $350 million, compared to $92 million in the same period last year and $287 million
in the previous quarter.
Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) was $405 million, compared to $260 million in the same period last year and $360 million
in the previous quarter.


Eastman's first-quarter 2018 sales revenue was $2.
607 billion, up 13.
2% year-over-year; Earnings before interest and taxes (EBIT) increased 2%
year-over-year to $409 million.
Mark Costa, Eastman Chairman and Chief Executive Officer, said the company got off to a good start
in 2018.
With an innovation-driven growth model, the Specialties business achieved significant above-market volume growth
in the first quarter.
The strong performance was also driven by strict capital allocation and a continued focus
on cost management.
In 2018, the Company will continue its efforts to offset the impact of fluctuations in raw material and energy prices, particularly olefins
.


Celanese reported net sales of $1.
9 billion in the first quarter of 2018, up 26% year-over-year; First-quarter operating income was $343 million and adjusted EBIT was $474 million
.
The strong performance in the quarter was mainly due to sales growth in the Engineering Materials and Acetyl Product Chain business: the Engineering Materials business completed commercialization of 742 projects in the first quarter, up 45% year-over-year; Net sales of the acetyl product chain exceeded $1 billion, a record high, up 32%
from the same period last year.