BASF 4Q Profit, Sales Fell; Warns of Coronavirus Impact
By Kim Richters
BASF SE said Friday that net profit and sales for the fourth
quarter fell, and it warned of the negative effects of the
coronavirus for the current year.
The German chemical company said net profit for the period was
150 million euros ($164.2 million), compared with EUR348 million a
Quarterly earnings before interest, taxes, depreciation and
amortization rose to EUR1.49 billion from EUR1.30 billion. EBIT
before special items was EUR765 million for the period, up from
EUR621 million a year earlier.
Sales fell to EUR14.69 billion from EUR14.99 billion, BASF
For the full year, BASF had net profit of EUR8.42 billion, EBIT
before special items of EUR4.54 billion and sales of EUR59.32
Analysts expected net profit of EUR9.05 billion, EBIT before
special items of EUR4.53 billion and sales of EUR61.18 billion for
the year, according to a consensus provided by Vara Research.
BASF proposed a dividend of EUR3.30 a share for 2019, an
increase of EUR0.10 from the previous year.
Looking ahead, the company said it expects to sales for 2020 to
be between EUR60 billion and EUR63 billion and its EBIT before
special items to be between EUR4.2 billion and EUR4.8 billion.
The company expects the negative effects of the coronavirus to
have "a significant impact world-wide," especially in the first two
quarters of this year. This forecast doesn't take a world-wide
spread of the virus into account, it said.
"However, we do not expect the corona effects to be fully offset
during the course of the year," the company's Chief Executive
Martin Brudermueller said.
Write to Kim Richters at firstname.lastname@example.org
(END) Dow Jones Newswires
February 28, 2020 01:52 ET (06:52 GMT)
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