BASF (BAS) Q3 2025 (Media) earnings summary

Executive summary

• Q3 2025 sales declined 3.2–3.3% year-over-year due to currency headwinds and lower prices, but volumes increased in Surface Technologies, Chemicals, and Materials segments.

• EBITDA before special items was €1.4–1.54 billion, slightly below the prior year, reflecting resilience amid challenging market and currency conditions.

• Major portfolio actions included the announced sale of the Coatings business to Carlyle, divestments in food, health, and decorative paints, and the completed acquisition of the remaining stake in Alsachimie S.A.S.

• Net income for Q3 2025 was €172 million, down 39.9% year-over-year; adjusted earnings per share rose to €0.52 from €0.32.

• Share buyback program of up to €1.5 billion to start in November 2025, as part of a €4 billion program through 2028.

Financial highlights

• Q3 2025 sales were €14.3–15.2 billion (restated/pro forma), down 3.2–3.3% year-over-year; EBITDA before special items was €1,400–1,544 million, down 3.2–4.8%.

• Net income for Q3 2025 was €172 million, a 39.9% decrease year-over-year; free cash flow was €398 million, down from €569 million in Q3 2024.

• For the first nine months of 2025, sales were €45.6 billion (down 2.1%), EBITDA before special items was €5.9 billion, and net income was €1.06–1.1 billion, down nearly 50%.

• Free cash flow for the first nine months: minus €868 million; operating cash flow for Q1–Q3 2025 was €1.97–2 billion, down significantly year-over-year.

• EBITDA margin before special items (excluding metals): 10.0–13.6% for the first nine months.

Outlook and guidance

• 2025 outlook confirmed but technically adjusted: EBITDA before special items now expected at €6.7–7.1 billion, reflecting the Coatings business reclassification and Zhanjiang startup impact.

• Free cash flow guidance remains €0.4–0.8 billion; CO2 emissions forecast unchanged.

• Underlying macro assumptions: moderate global GDP and industrial growth, stable euro/dollar rate, and oil price at $70/barrel.

• Risks for Q4 2025 include potential for steeper price reductions, rising feedstock costs, and lower-than-expected volume growth.

• Global GDP growth for 2025 is projected at 2.0–2.5%, with chemical production growth at 2.5–3.0%.