Covestro Lowers Full-Year Core Profit Guidance
Second-Quarter Sales Drop Slightly
Cologne, Germany (July 30, 2024)
German chemicals maker Covestro (1COVDE) has lowered the upper end of its full-year core profit guidance. Sales for the second quarter came in at €3.69 billion, a slight decrease from the same period last year but in line with market consensus. The company's CEO, Ronald Kohler, stated during an earnings call, "The overall environment for the chemicals industry remains challenging, and we are adjusting our guidance accordingly."
Covestro's EBITDA declined by 4.5% to €273 million for the first half of 2024. The company attributed the drop to higher raw material and energy costs, as well as macroeconomic headwinds.
Despite the challenges, Covestro remains optimistic about its long-term prospects. The company is investing in new technologies and applications to drive future growth. Investors are advised to monitor Covestro's performance closely as the economic landscape continues to evolve.
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