Covestro's fourth-quarter net income fell by 3.2% but the full year 2021 income surged manifold over the previous year to EUR1.62bn on the back of strong global demand for its products, said the company.
"The group benefited from strong global demand and buoyant earnings in the year as a whole. Core volumes sold increased by 10% year on year, mainly due to additional volumes from the Resins & Functional Materials (RFM) business acquired from DSM," it said in a statement.
Covestro anticipates EBITDA for the first quarter of 2022 to be between EUR750m and EUR850m while for the full year 2022 the company expects an EBITDA value between EUR2.5bn and EUR3.0bn.
As MRC informed before, in April 2021, DSM completed the sale of the resins & functional materials businesses to Covestro for EUR1.6 bn (USD1.9 bn), including EUR1.4 bn in cash.
We remind that Covestro closed the sale of its European polycarbonates (PC) sheets business to the Munich-based Serafin Group effective January 2, 2020. This includes key management and sales functions throughout Europe as well as production sites in Belgium and Italy.
According to MRC's ScanPlast report, Russia's estimated consumption of PC granules (excluding imports and exports to/from Belarus) decreased in the first eleven months of 2021 by 11% year on year due to a major fall of imports and higher exports. Thus, overall estimated consumption in Russia totalled 74,300 tonnes in January-November 2021 versus 83,600 tonnes a year earlier.
Covestro (formerly Bayer MaterialScience) is an independent subgroup within Bayer. It was created as part of the restructuring of Bayer AG from the former business group Bayer Polymers, with certain of its activities being spun off to Lanxess AG. Covestro manufactures and develops materials such as coatings, adhesives and sealants, polycarbonates (CDs, DVDs), polyurethanes (automotive seating, insulation for refrigerating appliances) etc. With 2020 sales of EUR 10.7 billion, Covestro has 33 production sites worldwide and employs approximately 16,500 people (calculated as full-time equivalents).
MRC