Evonik posts 22% drop in quarterly core profit, but beats market estimates

Evonik Industries AG

04/11/2025 06:00

Nov 4 (Reuters) - German chemicals group Evonik Industries EVKn.DE reported a 22% drop in its third-quarter core profit on Tuesday, citing subdued demand in challenging market conditions, but beat market expectations.

The company's adjusted earnings before interest, taxes, depreciation and amortisation fell to 448 million euros ($522.5 million) in the quarter. That was ahead of a median forecast of 440 million euros from analysts polled by Vara Research.

"The anticipated recovery in September failed to materialize," CEO Christian Kullmann said in a statement. "In the short term, this is painful. But longer term, it does not throw us off course."

The German chemical sector, the country's third largest industry, has been struggling for years with subdued demand coupled with high energy costs, supply chain issues and a sluggish economy.

The Essen-based company confirmed the 2025 guidance it had trimmed in September.

"Our revised targets for this year are achievable, and we are focused on the long-term, successful implementation of our programs to grow revenues and cut costs," said Claus Rettig, who has been responsible for the finance department since the departure of CFO Maike Schuh on September 18.

Unlike its usual habit, the group did not provide any core profit expectations for the final quarter of 2025.

($1 = 0.8575 euros)

(Reporting by Anastasiia Kozlova in Gdansk; editing by Milla Nissi-Prussak)

((Anastasiia.Kozlova@thomsonreuters.com;))