Covestro got off to a better start than expected in the 2023 fiscal year. Despite a still weak level of demand in a business environment that remains challenging, the company was able to limit the related negative impacts. Group sales were down 20.1% in the first quarter of 2023, to EUR 3.7 billion (previous year: EUR 4.7 billion), among other things due to a drop in volumes sold and a lower selling price level. The Group's EBITDA amounted to EUR 286 million and was thus 64.5 percent lower year over year (previous year: EUR 806 million) due to a drop in volumes sold and lower margins. However, this result significantly exceeded the company's own expectations of EUR 100 million to EUR 150 million as well as recent analysts' estimates of EUR 158 million for the first quarter. That was due in particular to the Group's focus on efficiency as part of its Sustainable Future strategy. Net income in the first quarter fell to EUR -26 million (previous year: EUR 416 million), while the free operating cash flow (FOCF) was EUR -139 million (previous year: EUR 17 million).

"Our start to 2023 has been better than expected and clearly shows that our Sustainable Future strategy is having an impact. We have achieved an initial success through our own efforts," says Dr. Markus Steilemann, CEO of Covestro. "This positive momentum shows that Covestro is on the right track. We continue to focus relentlessly on sustainable growth, successful cooperation with our customers and efficiency. In this way, we are pushing ahead with our vision of becoming fully circular."

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Covestro AG published this content on 28 April 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 April 2023 05:16:12 UTC.