Log in
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 

MarketScreener Homepage  >  Equities  >  Xetra  >  Bayer AG    BAYN   DE000BAY0017


SummaryMost relevantAll NewsPress ReleasesOfficial PublicationsSector newsMarketScreener StrategiesAnalyst Recommendations

Bayer : plans more cost cuts, impairment charges

share with twitter share with LinkedIn share with facebook
09/30/2020 | 03:15pm EDT
The historic headquarters of German pharmaceutical and chemical maker Bayer AG is pictured in Leverkusen

German drugs company Bayer AG announced plans on Wednesday for more than 1.5 billion euros (£1.36 billion)of cost cuts as of 2024 and said it would take impairment charges on its agricultural business as it battles with low commodity prices.

Bayer said that the impact of the coronavirus on the crop science business will be deeper than originally expected due to low commodity prices, intense competition in soy, and reduced biofuel consumption, compounded by negative currency effects.

As a result, Bayer expects to take non-cash impairment charges in the mid- to high-single-digit billion-euros range on assets in the agricultural business.

Bayer's share price has been pummelled by a deal it made in June to pay around $11 billion to settle U.S. lawsuits over its Roundup weedkiller. Bayer acquired Roundup with its purchase of Monsanto for $63 billion in 2018.

Bayer said the new cuts come on top of annual savings of 2.6 billion euros as of 2022, which were announced in November 2018, adding that the company was also considering exiting non-strategic businesses or brands below the divisional level.

It said the restructuring, which may also lead to extra job cuts, is in the early stages of planning.

It expects its pharmaceuticals business to return to growth in 2021 and its consumer health unit to outpace peer growth, and could consider bolt-on acquisitions for both.

It expects 2021 sales to be about the same as in 2020, despite significant headwinds from COVID-19, and core earnings per share to be slightly lower at constant exchange rates.

It will leave its dividend policy unchanged, but expects payouts in coming years to be at the lower end of 30-40% of core earnings per share, rather than at the upper end as in previous years.

(Reporting by Emma Thomasson; Editing by Andrew Cawthorne)

share with twitter share with LinkedIn share with facebook
All news about BAYER AG
10/23BAYER : FDA approves FoundationOne®CDx as companion diagnostic for Vitrakvi&trad..
10/23BAYER : drug shown to slow diabetic kidney disease
10/23Sensyne to Collaborate with Bristol Myers Squibb on Blood-Disease Research
10/23NEWS HIGHLIGHTS : Top Company News of the Day
10/23NEWS HIGHLIGHTS : Top Company News of the Day
10/22GRAIN HIGHLIGHTS : Top Stories of the Day
10/22LIVESTOCK HIGHLIGHTS : Top Stories of the Day
10/22NEWS HIGHLIGHTS : Top Company News of the Day
10/22NEWS HIGHLIGHTS : Top Company News of the Day
10/22Materials Up On Stimulus Bets, Copper Gains -- Materials Roundup
More news
Sales 2020 42 905 M 50 889 M 50 889 M
Net income 2020 -5 435 M -6 447 M -6 447 M
Net Debt 2020 32 423 M 38 457 M 38 457 M
P/E ratio 2020 -6,39x
Yield 2020 5,65%
Capitalization 41 679 M 49 336 M 49 436 M
EV / Sales 2020 1,73x
EV / Sales 2021 1,69x
Nbr of Employees 101 168
Free-Float 100,0%
Duration : Period :
Bayer AG Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends BAYER AG
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus OUTPERFORM
Number of Analysts 27
Average target price 66,97 €
Last Close Price 42,43 €
Spread / Highest target 117%
Spread / Average Target 57,9%
Spread / Lowest Target 8,43%
EPS Revisions
Werner Baumann Chairman-Management Board
Norbert Winkeljohann Chairman-Supervisory Board
Wolfgang U. Nickl Chief Financial Officer
Bijoy Sagar Chief Information Technology Officer
Paul Achleitner Member-Supervisory Board
Sector and Competitors
1st jan.Capitalization (M$)
BAYER AG-41.73%49 336
JOHNSON & JOHNSON-0.43%382 391
ROCHE HOLDING AG-5.29%280 884
PFIZER INC.-2.55%212 162
MERCK & CO., INC.-12.23%201 909
NOVARTIS AG-16.78%185 999