Bayer (BAYN) Q1 2026 (Media) earnings summary

Executive summary

• Q1 2026 sales reached €13.4 billion, up 4.1% currency- and portfolio-adjusted, but down 2.4% reported due to negative currency effects of €0.9 billion.

• EBITDA before special items increased 9% to €4.5 billion, with a negative currency effect of €0.3 billion.

• Net income more than doubled year-over-year to €2.8 billion, driven by special gains and improved operating performance.

• Core EPS rose 12.9% to €2.71, reflecting Crop Science growth and licensing resolution income.

• Free cash flow was negative €2.3 billion, mainly due to litigation-related payments.

Financial highlights

• EBITDA margin before special items improved to 33.2% from 29.7% a year earlier.

• EBIT before special items increased 10.1% to €3.2 billion.

• Net financial debt stood at €32.5 billion at quarter-end, up from year-end 2025 but down year-over-year.

• Net cash used in operating activities was minus €1.8 billion, reflecting higher legal settlement outflows.

• Personnel expenses decreased 7.1% to €2.8 billion, with headcount down 3.4% year-over-year.

Outlook and guidance

• Currency-adjusted Group outlook for 2026 confirmed, with sales expected at €44.5–46.5 billion and EBITDA before special items at €9.4–9.9 billion.

• Core EPS expected in the range of €4.10–4.60.

• Free cash flow (excluding settlements) forecasted at €2.0–3.0 billion for 2026.

• Management continues to monitor geopolitical risks, especially the Middle East conflict, but sees no material impact on full-year guidance.

• Ongoing FX volatility and geopolitical risks monitored, with guidance ranges expected to cover potential impacts.