BASF shares drop 2% as weaker Q3 results and cash flow disappoint

From Investing.com: 2024-10-30 08:07:47

BASF SE shares dropped 2% post weaker-than-expected Q3 results. Adjusted EBITDA at €1,622 million missed estimates, with chemicals division struggling due to operational issues in China. Group sales hit €15.74 billion, but challenges persisted. Adjusted EBIT fell short at €635 million, impacted by weak profitability in Agricultural Solutions.

Full-year guidance revised by BASF, expecting lower adjusted EBITDA. Jefferies predicts EBITDA at €7.8 billion, slightly below consensus. Analysts note sluggish markets but highlight strong performance in Nutrition & Care. Investor concern rises over deteriorating cash flow, with free cash flow at €569 million and net debt at €19.7 billion.

Despite bright spots like increased sales in materials, BASF faces economic headwinds in Europe and China. Profitability remains exposed to energy price fluctuations and global economic softness. Analysts anticipate minor consensus upgrades post Q3 results, potentially boosting share price.



Read more at Investing.com: BASF shares slide as results miss forecasts and cash flow weakens By Investing.com