Issue 7 2020 - LANXESS profit increases by 3.3 percent in 2019

LANXESS profit increased by 3.
3%
in 2019 On March 19, LANXESS held an online press conference
for its 2019 financial report.
In fiscal 2019, LANXESS' EBITDA rose by 3.
3 percent to EUR 1,019 million
.
As predicted, the company's earnings are roughly between
1 billion ~ 1.
05 billion euros.
The company's earnings last year amounted to 986 million euros
.

At EUR 6,802 million, LANXESS generated sales of EUR 6,824 million, which was essentially at the level
of the previous year (EUR 6,824 million).
Net income from continuing operations amounted to €240 million, down 14.
9 percent
compared to €282 million in the previous year.
This was mainly due
to special charges arising from the restructuring of the organometallic business.

The three segments High-Quality Intermediates, Specialty Additives and Performance Chemicals delivered strong results, compensating for the decline in the Engineering Materials segment, mainly caused by weak demand from the
automotive industry.
Favorable exchange rate effects, particularly in the United States dollar, supported earnings
.
The EBITDA margin for the full year from ordinary business reached 15.
0 percent for the first time, up from 14.
4 percent
in the previous year.

"In 2019, the economic environment was difficult and we withstood the first real test
since the restructuring of the company.
LANXESS is now more profitable and stable than ever
.
Chang Mutian, Chairman of the Board of Management of LANXESS, said: "Even with the challenges, our profit margins have reached new highs and the financial basis of our new growth projects has been further strengthened
.
In 2020, we will increasingly focus on the highly profitable consumer protection business and new applications
in the field of battery technology.
In
2020, LANXESS will continue to promote the implementation of the application development center in the Asia-Pacific region and the integrated production base project in the Shanghai Chemical Industry Park
.
LANXESS expects its operations to remain stable in fiscal 2020, but the coronavirus pandemic will have an impact of 50 million to 100 million euros on
its operating results for the full year.
As a result, LANXESS generally expects EBITDA to reach 900 million ~ EUR 1 billion in
its regular business area.
The company currently expects expenses due to the coronavirus pandemic to be around €20 million in
the first quarter of 2020.