Based on the results of the first half of 2019, Covestro has confirmed its guidance for the current fiscal year. As expected, ongoing intense competitive pressure and uncertainties in major sales markets persisted into the second quarter.
Whereas core volumes rose by 1.1%, Group sales fell to EUR 3.2 billion (–16.9%) due to lower selling prices. At EUR 459 million, EBITDA stabilized at the level of the first quarter of 2019 (EUR 442 million), but remained well under the outstanding result achieved in the prior-year quarter (–53.4%).
The decline in earnings resulted mainly from lower margins in the Polyurethanes and Polycarbonates segments. Net income declined to EUR 189 million, while free operating cash flow amounted to minus EUR 55 million on account of lower cash flows from operating activities and higher investments.