Covestro’s second-quarter earnings performance is eye-catching, with strong earnings momentum

The new group structure, officially effective from July 1, 2021, reorganized the original three business segments into seven tailor-made business units to meet the specific needs of customers and the market and lay the foundation for sustainable growth

In view of the outstanding business performance, Covestro has raised its 2021 profit forecast on July 12, 2021, and confirmed the profit forecast today——

In view of the outstanding business performance, Covestro has raised its 2021 profit forecast on July 12, 2021, and confirmed the profit forecast today——

• EBITDA will be between 2.

  
  

• Free operating cash flow is expected to be between 1.

  
  

• Return on capital employed (ROCE) is expected to be between 16% and 20%

• The forecast of core business sales growth remains unchanged, still between 10% and 15% (of which about 6 percentage points are contributed by RFM)

• EBITDA will be between 2.

  
  

• Free operating cash flow is expected to be between 1.

  
  

• Return on capital employed (ROCE) is expected to be between 16% and 20%

• The forecast of core business sales growth remains unchanged, still between 10% and 15% (of which about 6 percentage points are contributed by RFM)

• EBITDA will be between 2.

  
  

• Free operating cash flow is expected to be between 1.

  
  

• Return on capital employed (ROCE) is expected to be between 16% and 20%

• The forecast of core business sales growth remains unchanged, still between 10% and 15% (of which about 6 percentage points are contributed by RFM)

EBITDA will be between 2.

Free operating cash flow is expected to be between 1.

Return on capital employed (ROCE) is expected to be between 16% and 20%

The forecast of core business sales growth remains unchanged, still between 10% and 15% (of which about 6 percentage points are contributed by RFM)

Although the interruption of production in North America due to unexpected weather conditions and the continued bottleneck of raw material supply had a negative impact on product supply in the second quarter and also restricted the growth potential of various business segments, all business segments of Covestro Still overcome the constraints of objective conditions, and achieved outstanding results
.

The polyurethane business segment's core business sales in the second quarter increased by 27.
8% year-on-year, of which all major customer industries in major regions achieved growth
.
Sales in this segment are approximately 1.
8 billion euros, which is double the same period last year (913 million euros)
.
This is mainly attributable to the increase in average selling prices and total sales
.
EBITDA also increased significantly to 452 million euros due to improved profit margins (the same period last year: -24 million euros)
.

The polyurethane business segment's core business sales in the second quarter increased by 27.
8% year-on-year, of which all major customer industries in major regions achieved growth
.
Sales in this segment are approximately 1.
8 billion euros, which is double the same period last year (913 million euros)
.
This is mainly attributable to the increase in average selling prices and total sales
.
EBITDA also increased significantly to 452 million euros due to improved profit margins (the same period last year: -24 million euros)
.

The core business sales of the polycarbonate business segment increased by 15.
4% year-on-year in the second quarter, mainly due to the sales growth achieved by the automotive and transportation industries in major regions
.
Due to the increase in total sales and sales prices, sales in this segment increased by 56.
6% to around 1 billion euros (the same period last year: 648 million euros)
.
EBITDA increased to 260 million euros (the same period last year: 96 million euros) due to the substantial increase in profit margins and the increase in total sales
.

The core business sales of the coatings, adhesives and specialty chemicals business segment increased by 133.
5% year-on-year
.
Approximately 100% of the growth was attributed to the first merger of RFM
.
Thanks to changes in product mix and increases in sales and sales prices, sales in this segment increased to 926 million euros (the same period last year: 443 million euros)
.
As a result, EBITDA more than doubled year-on-year to 134 million euros (the same period last year: 60 million euros)
.

The core business sales of the polycarbonate business segment increased by 15.
4% year-on-year in the second quarter, mainly due to the sales growth achieved by the automotive and transportation industries in major regions
.
Due to the increase in total sales and sales prices, sales in this segment increased by 56.
6% to around 1 billion euros (the same period last year: 648 million euros)
.
EBITDA increased to 260 million euros (the same period last year: 96 million euros) due to the substantial increase in profit margins and the increase in total sales
.

The core business sales of the polycarbonate business segment increased by 15.
4% year-on-year in the second quarter, mainly due to the sales growth achieved by the automotive and transportation industries in major regions
.
Due to the increase in total sales and sales prices, sales in this segment increased by 56.
6% to around 1 billion euros (the same period last year: 648 million euros)
.
EBITDA increased to 260 million euros (the same period last year: 96 million euros) due to the substantial increase in profit margins and the increase in total sales
.

The core business sales of the coatings, adhesives and specialty chemicals business segment increased by 133.
5% year-on-year
.
Approximately 100% of the growth was attributed to the first merger of RFM
.
Thanks to changes in product mix and increases in sales and sales prices, sales in this segment increased to 926 million euros (the same period last year: 443 million euros)
.
As a result, EBITDA more than doubled year-on-year to 134 million euros (the same period last year: 60 million euros)
.

The core business sales of the coatings, adhesives and specialty chemicals business segment increased by 133.
5% year-on-year
.
Approximately 100% of the growth was attributed to the first merger of RFM
.
Thanks to changes in product mix and increases in sales and sales prices, sales in this segment increased to 926 million euros (the same period last year: 443 million euros)
.
As a result, EBITDA more than doubled year-on-year to 134 million euros (the same period last year: 60 million euros)
.

Thanks to the sharp rebound in demand from all major customer industries, higher sales prices and total sales, as well as changes in product mix, Covestro recovered rapidly in the first half of the year

Thanks to the sharp rebound in demand from all major customer industries, higher sales prices and total sales, as well as changes in product mix, Covestro recovered rapidly in the first half of the year

• Core business sales increased by 18.
  9% year-on-year

• Sales increased by 47.
  1% to approximately 7.
  3 billion euros

• EBITDA increased to approximately 1.
  6 billion euros (the same period last year: 379 million euros)

• Net profit rose to 842 million euros (the same period last year: –32 million euros)

• Free operating cash flow increased to 692 million euros (the same period last year: –225 million euros)

• Core business sales increased by 18.
  9% year-on-year

• Sales increased by 47.
  1% to approximately 7.
  3 billion euros

• EBITDA increased to approximately 1.
  6 billion euros (the same period last year: 379 million euros)

• Net profit rose to 842 million euros (the same period last year: –32 million euros)

• Free operating cash flow increased to 692 million euros (the same period last year: –225 million euros)

• Core business sales increased by 18.
  9% year-on-year

• Sales increased by 47.
  1% to approximately 7.
  3 billion euros

• EBITDA increased to approximately 1.
  6 billion euros (the same period last year: 379 million euros)

• Net profit rose to 842 million euros (the same period last year: –32 million euros)

• Free operating cash flow increased to 692 million euros (the same period last year: –225 million euros)

• Core business sales increased by 18.
  9% year-on-year

• Sales increased by 47.
  1% to approximately 7.
  3 billion euros

• EBITDA increased to approximately 1.
  6 billion euros (the same period last year: 379 million euros)

• Net profit rose to 842 million euros (the same period last year: –32 million euros)

• Free operating cash flow increased to 692 million euros (the same period last year: –225 million euros)

Core business sales increased by 18.
9% year-on-year

Sales increased by 47.
1% to approximately 7.
3 billion euros

EBITDA increased to approximately 1.
6 billion euros (the same period last year: 379 million euros)

Net profit rose to 842 million euros (the same period last year: –32 million euros)

Free operating cash flow increased to 692 million euros (the same period last year: –225 million euros)