27.02.2013 – BASF maintained its good performance in 2012. The company exceeded the 2011 record levels in sales and income from operations (EBIT) and once again earned a substantial premium on the cost of capital. Dr. Kurt Bock, Chairman of the Board of Executive Directors of BASF SE, said at the Annual Press Conference: “The Oil & Gas and Agricultural Solutions segments achieved new records, while development in our chemicals business was weaker than in 2011.”
Sales in the fourth quarter of 2012 were €19.6 billion, 9 % higher than in the same quarter of the previous year. This increase was mainly due to higher volumes in almost all segments as well as price and currency effects. At €1.8 billion, EBIT before special items was 18 % above the level of the previous fourth quarter, mainly due to significantly higher volumes in Oil & Gas as well as improved earnings in Polyurethanes and Construction Chemicals.
For the full year, BASF increased sales to €78.7 billion, up 7 % compared with 2011. EBIT before special items improved by 5 % to €8.9 billion and EBIT by almost 5 % to around €9 billion. Net income fell by €1.3 billion to €4.9 billion, due in part to the higher earnings contribution from Oil & Gas and thus the significantly higher taxes. Furthermore, gains from the sale of BASF’s shares in K+S Aktiengesellschaft in 2011 were predominantly tax-free.
At the Annual Shareholders’ Meeting, the Board of Executive Directors and the Supervisory Board will propose a higher dividend of €2.60 per share.
BASF’s outlook for 2013 is based on the following economic conditions (previous year figures in parentheses):
- World economic growth: +2.4 % (+2.2 %)
- Growth in global chemical production: +3.6% (+2.6%)
- An average euro/dollar exchange rate of $1.30 per euro ($1.28 per euro)
- An average oil price of $110/barrel ($112/barrel)
“We aim to grow again in 2013 and exceed the 2012 levels in sales and EBIT before special items,” said Bock. The company strives to increase sales and earnings in all operating segments. The expected increase in demand, together with measures to improve operational excellence and raise efficiency, will contribute to this. BASF aims to earn a high premium on its cost of capital once again in 2013.
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