LANXESS AG

Latest Results (07.01.2025):

Sales Performance

In the third quarter of 2024, LANXESS AG reported sales of €1,598 million, which remained stable compared to the same period in 2023. Despite a challenging market environment, the company managed to maintain its sales level, with a 0% change year-over-year. This stability was achieved through a balance of increased volumes offsetting the decline in prices.

EBITDA Improvement

LANXESS AG experienced a significant improvement in EBITDA pre-exceptionals, which increased by 45% to €173 million in Q3 2024 from €119 million in Q3 2023. This improvement was driven by higher utilization rates and a well-progressing savings program across all segments, despite the ongoing challenges in the agro sector.

Adjusted EPS and Profitability

The adjusted earnings per share (EPS) for LANXESS AG in Q3 2024 reflected an improvement in EBIT, with the adjusted EPS increasing to €0.86 from a negative €0.01 in the previous year. This improvement indicates better operational performance and cost management, contributing to enhanced profitability.

Cash Flow and Financial Position

Operating cash flow for LANXESS AG in Q3 2024 was €322 million, down from €390 million in the same quarter of the previous year. The decrease was mainly due to an increase in working capital, driven by lower payables and the buildup of safety stocks in response to a US harbor strike. Despite this, the company's net financial debt remained almost stable sequentially.

Outlook and Guidance

LANXESS AG confirmed its full-year 2024 guidance, expecting EBITDA pre-exceptionals to grow by 10-20%. The company anticipates normal seasonality in Q4, with sequentially weaker EBITDA and backend-loaded capital expenditures. The macroeconomic environment remains uncertain, particularly affecting the agro and construction industries.