• BASF 1Q Adjusted Ebitda was EU2.71 billion, marking a decrease of 5.3% compared to the previous year’s first quarter. The result was better than the estimated EU2.56 billion.
• The company’s Adjusted Ebit was EU1.75 billion, a decrease of 9.2% year-on-year, surpassing the estimated EU1.54 billion.
• Sales for BASF amounted to EU17.55 billion, showing a decrease of 12% year-on-year. This figure was lower than the estimated EU18.4 billion.
• Chemicals revenue hit EU2.76 billion, recording a decrease of 2.4% year-on-year, closely matching the estimated EU2.79 billion.
• Materials sales summed up to EU3.44 billion, registering a decrease of 10% year-on-year, which was lower than the estimated EU3.66 billion.
• Industrial Solutions sales were EU2.06 billion, a decrease of 4% year-on-year, slightly under the estimated EU2.08 billion.
• Surface Technologies sales saw a decrease of 27% year-on-year totaling EU3.35 billion, lower than the estimated EU3.68 billion.
• Nutrition & Care sales amounted to EU1.73 billion, marking a decrease of 5.3% year-on-year, closely meeting the estimated EU1.76 billion.
• Agricultural Solutions sales totaled EU3.48 billion, showing a decrease of 11% year-on-year and slightly under the estimated EU3.55 billion.
• Adjusted EPS stood at EU1.68 versus EU1.93 year-on-year, higher than the estimated EU1.39.
• Net debt stood at EU18.18 billion at period end, less than the estimated EU18.62 billion.
• Negative free cash flow was EU1.46 billion, representing a year-on-year decrease of 23%.
• Net income was marked at EU1.37 billion which was 12% less than last year’s first quarter but higher than the estimated EU1.13 billion.
• R&D expenses stood at EU490 million, marking an 8.9% decrease year-on-year and a considerable decrease from the estimated EU562.3 million.
• BASF forecast adjusted Ebitda for the year between EU8 billion to EU8.6 billion.
• BASF also still expects to raise free cash flow to between EU0.1 billion to EU0.6 billion for the 2024 business year.
• The global chemical industry experienced a slight recovery in the first quarter of 2024, experiencing a faster growth rate than the overall industrial production due to customer industries replenishing their extremely low inventories.
BASF on Smartkarma
Analyst coverage of BASF on Smartkarma by Joe Jasper reveals a bullish outlook on global equities despite some market dynamics in early November 2023. Jasper suggests treating pullbacks as buying opportunities in the market. He emphasizes buys in global Materials, Energy, Consumer Discretionary, and Industrials, indicating a positive sentiment towards BASF.
Jasper’s research report titled “Bullish Outlook Intact; Downgrading India; Buys in Materials, Energy, Discretionary, Industrials” provides actionable themes for investors to consider. With a focus on key sectors like Materials and Energy, this coverage on BASF offers valuable insights for those interested in understanding the investment landscape on Smartkarma.
A look at BASF Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 5 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 4.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, BASF shows a positive long-term outlook. The company scores high in Dividend and Value, indicating strong financial performance and returns for investors. With a solid score in Growth and Momentum, BASF is positioned well for future expansion and market traction. Although Resilience scored slightly lower, the overall outlook for BASF remains promising.
BASF SE, a chemical company, operates across various segments, offering products and solutions for industries such as chemicals, plastics, agriculture, and oil. Known for its diverse product range and system solutions, BASF caters to a wide range of sectors, including automotive, construction, and electronics. With its strong performance in Dividend, Value, Growth, and Momentum, BASF holds a solid position for long-term growth and sustainability in the market.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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