Evonik Industries AG

Latest Results (28.04.2026):

Evonik Industries AG — 3rd quarter 2025: Earnings weakened as global demand slowed. Group sales fell 12% year‑on‑year to €3,391m in Q3 2025 and adjusted EBITDA dropped 22% to €448m (margin 13.2%). Net income swung to a loss of €106m (Q3 2024: €223m) largely due to impairments and weaker operating performance; adjusted net income also fell sharply. Management has revised full‑year adjusted EBITDA guidance to around €1.9bn.

Sales and volumes

Q3 sales €3,391m vs €3,832m a year earlier (‑12%). The decline was driven mainly by substantially lower volumes; selling prices were “virtually stable.” Currency effects and the prior sale of the Superabsorbents business also reduced revenue.

Profitability (EBITDA)

Adjusted EBITDA in Q3 was €448m (‑22% vs Q3 2024) and the adjusted EBITDA margin fell to 13.2% from 15.1%. For the first nine months adjusted EBITDA is €1,517m (‑10%).

Net income and adjustments

Reported net income for Q3 was -€106m (Q3 2024: €223m) after impairment charges and other special items (adjustments in Q3 included -€222m, with -€191m mainly impairment losses in Infrastructure). Adjusted net income for the quarter was €128m (‑53%).

Segment performance

Advanced Technologies and Custom Solutions saw lower earnings (Advanced: Q3 adjusted EBITDA €202m, -32%; Custom Solutions: €215m, -25%). Infrastructure was weakest: Q3 sales €574m (‑26%) and adjusted EBITDA €54m, with significant impairments affecting results.

Cash flow, capex and balance sheet

Free cash flow for the first nine months fell to €284m (from €701m) as operating cash fell and bonus payments rose. Capex (cash outflows) in 9M 2025 was €547m; net financial debt was €3,677m at Sept 30, 2025 (up vs Dec 31).

Financing actions

Evonik redeemed a €500m conventional bond on maturity and had earlier issued a €500m green bond. In Sept 2025 it issued a €500m green hybrid (30‑year, 4.25% coupon) and ran a tender to early‑redeem part of a 2021 hybrid (take‑up ≈66%), which affected reported hybrid liabilities.

Outlook and guidance

Due to sustained weak demand and adverse FX, Evonik has trimmed its 2025 adjusted EBITDA outlook to around €1.9bn (previously €2.0–2.3bn). ROCE is now expected slightly below the prior year; cash conversion guidance narrowed to 30–40%.

Key takeaways for investors

Q3 2025 shows a broad demand slowdown across end‑markets, meaningful downside from impairments (Infrastructure), weaker operating cash flow, and a conservative revision of 2025 EBITDA guidance — offset only partly by cost measures and ongoing portfolio/financing actions.