27 October 2011 12:09 [Source: ICIS news]
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LONDON (ICIS)--Bayer's third-quarter net profit more than doubled to €642m ($892m), from €285m in the same period last year, the German chemical producer said on Thursday.
The company’s sales for the third quarter of 2011 rose by 1% to €8.67bn.
“It was a good quarter for Bayer,” said chairman Marijn Dekkers, citing strong growth momentum in emerging markets.
Earnings at Bayer’s HealthCare and CropScience businesses substantially improved, while those at the company’s MaterialScience division “were diminished by higher energy and raw material costs”, Dekkers said.
Operating profit in the MaterialScience segment declined by 24% to €196m, the company said.
However, operating profit at the company’s healthcare segment increased to €866m, from €735m in the same period last year. Business growth improved in all regions despite challenges such as health reform in the US and Europe.
Operating profit at the CropScience business grew to €24m from minus-€404m in the same period last year.
In the first nine months of 2011, Bayer’s overall net profit grew by 43% year on year to €2.08bn, with sales up by 4.8% to €27.3bn, the company said.
“We can confirm the full-year sales and earnings forecast that we already raised in April,” Dekkers said.
Bayer is expecting to increase sales this year by 5-7%, corresponding to group sales at between €36bn and €37bn.
It said it will still look to increase earnings before interest, taxation, depreciation and amortisation (EBITDA) to more than €7.5bn and improve core earnings per share by about 15%.
($1 = €0.72)
For more on Bayer visit ICIS company intelligence
Additional reporting by Pearl Bantillo
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