BASF: Earnings in the third quarter 2016 above analysts’ estimates

BASF is releasing preliminary figures for its business development in the third quarter of 2016. Sales are €14.0 billion (third quarter 2015: €17.4 billion). Income from operations (EBIT) before special items in the third quarter of 2016 is €1.5 billion (third quarter 2015: €1.6 billion) and EBIT is €1.5 billion (third quarter 2015: €1.9 billion). Preliminary third-quarter earnings of BASF Group and all segments are higher than average analysts’ estimates.

The decrease in sales and earnings compared with the prior third quarter is mainly a result of the divestiture of the natural gas trading activities on September 30, 2015. Earnings in the Performance Products, Functional Materials & Solutions and Agricultural Solutions segments are considerably higher than in the prior year quarter.

BASF confirms its outlook for the full year 2016: Sales will decline considerably due to the divestiture of the gas trading business; the company continues to expect EBIT before special items to be slightly below the level of 2015. For sales, “considerable” represents a change of 6% and higher; for earnings, “slight” means a change of up to 10%.

Source: BASF