Issue 10/2019 - The chemical giant's first quarter results at a glance

BASF's sales revenue rose 3 percent year-on-year to €16.
2 billion in the first quarter, but net profit fell 16 percent to €1.
4 billion
.
The decline in profit in the first quarter was mainly related to
lower revenue and profit in the chemicals and materials segment.
In the first quarter, the volume and price of related products in the chemical sector fell, revenue fell by 13% year-on-year, and EBIT decreased significantly; Materials segment revenue declined 15% year-over-year and EBIT decreased 60%.



Dow's first-quarter net sales fell 10 percent to $10.
8 billion, and operating EBITDA fell 24 percent
year-over-year to $1.
9 billion.
While increased volume, cost savings through synergies and new U.
S.
Gulf Coast capacity in silicone, polyurethane and packaging applications, these failed to offset margin compression and lower equity gains
for polyethylene, isocyanates and siloxanes.


LANXESS sales in the first quarter were unchanged from the same period last year at EUR 1,822 million, EBITDA from ordinary business rose by 1.
9 percent to EUR 275 million, EBITDA margin from ordinary business rose to 15.
1 percent, and net income increased by 3.
7 percent to EUR
84 million.
EBITDA in regular operations is expected to be between
€1 billion and €1.
05 billion in fiscal 2019.


Evonik's first-quarter sales reached 3.
29 billion euros, up 1% year-on-year; Adjusted EBITDA edged down 3 percent to €539 million, and adjusted EBITDA margin was 16.
4 percent.
Adjusted net income was €249 million, down 5 percent
year-on-year.
Evonik raised its expectations for fiscal 2019 and expects adjusted EBITDA and sales to be at least the same as last year (earnings from the planned acquisition of the U.
S.
company PeroxyChem are not included).



Solvay benefited from foreign exchange translations and generally stable endogenous growth, with first-quarter EBITDA up 2.
4 percent year-on-year to €571 million, while the EBITDA margin in its main business continued to stabilize at 22 percent
.
In 2019, the EBITDA of the main business is expected to remain flat or slightly endogenously decrease
.

Huntsman reported first-quarter revenue of $2,034 million and net income of $131 million, adjusted net income of $108 million and adjusted EBITDA of $257 million
.
Urethans revenue declined year-over-year, primarily due to lower average selling prices for MDI and MTBE, partially offset
by higher MDI volumes.


CORNING'S FIRST-QUARTER CORNING GAAP SALES WERE $2.
8 BILLION AND CORE SALES WERE $2.
9 BILLION, UP 12 PERCENT AND 13 PERCENT
, RESPECTIVELY, YEAR-OVER-YEAR.
Sales and earnings increased
in all business segments.
Continued technology and manufacturing investments drove additional growth in 2019 and continued growth
is expected in the Optical Communications, Specialty Materials, Environmental Technologies and Life Sciences business units.


DSM's Group sales in the first quarter increased 3% year-on-year to €2,292 million and adjusted EBITDA increased 10% to €412 million.
Net income totalled EUR 196 million
.
On a 2018 basis, excluding temporary vitamin price impacts, high-single-digit growth
in adjusted EBITDA is expected for the full year 2019.


BP revenue in the first quarter was $67.
407 billion, down 2.
5%
year-on-year, affected by the contraction of refining operations.
In the first quarter, BP's refining output averaged 1.
739 million barrels per day, down 1.
2%
year-on-year.
In addition, refining margins are also declining, with BP's profit in the sector in the first quarter of $1.
733 billion, down 5.
1%
year-on-year.
However, benefiting from the growth of upstream oil and gas production, BP's net profit growth rate maintained double-digit growth
in the first quarter.


Continental had sales of €11 billion in the first quarter, unchanged
from the same period last year.
Adjusted EBIT amounted to €884 million and an adjusted EBIT margin of 8.
1 percent
.
The market is expected to improve in the second half of the year, so its annual earnings indicators remain unchanged
.
The focus of the current fiscal year is to prepare for the restructuring announced last July, the important element of which is to transform the powertrain into a separate legal entity
.