Chemical companies see drop in turnover in ‘challenging market’
Chemical company Solvay has maintained its forecasts for 2025, despite seeing net sales fall by nearly 10 per cent in the third quarter compared to the same period last year. The company published its reports on Thursday.
Net sales fell to 1.044 billion euros, while earnings before interest, taxes, depreciation and amortisation (EBITDA) fell by 10.3 per cent to 232 million euros, compared with 259 million in the same period last year.
Solvay, based in Brussels, sold CO2 emission rights, which contributed 40 million euros to EBITDA. Underlying net profit fell from 108 million euros in the third quarter of 2024 to 90 million in the same period this year.
"Looking at what we achieved in the first nine months … I’m confident we will deliver our 2025 objectives"
Despite "the challenging market environment and continued forex headwinds", the company has confirmed its forecasts for 2025, with underlying EBITDA expected to be between 880 and 930 million euros and savings expected to exceed 200 million euros.
“Looking at what we achieved in the first nine months, and how the organization is focusing on our priorities, I’m confident we will deliver our 2025 objectives,” CEO Philippe Kehren said in a statement.
Meanwhile, chemicals specialist Syensqo, formed from Solvay in 2023, is lowering its forecasts. Net sales fell by 7.1 per cent to 1.517 billion euros in the third quarter in a “challenging macroeconomic environment”, the company said, referring to "unfavorable foreign exchange movements".
The Brussels company is now lowering its outlook for 2025 as a whole.
“For the balance of the year we continue to see a slower recovery in volumes and have adjusted our full year outlook accordingly, broadly aligned with consensus expectations,” said CEO Ilham Kadri, who announced in September that she would be stepping down at the end of the year.
Solvay CEO Philippe Kehren during an economic mission to Brazil, November 2024 © BELGA PHOTO DIRK WAEM
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