BASF posts solid earnings
BASF has posted solid figures for 2008 with sales at €62.3 billion, up 8% compared with 2007 sales. The increase in sales was primarily because of higher prices in all divisions. Income from operations was on course for a new record up to the fourth quarter. At just under €6.9 billion at the end of the year, however, it was 10% lower than the record amount posted in 2007.
Sales in Europe rose 13% to €38.7 billion in 2008, while income was €5.8 billion. North American sales rose 8% in local-currency terms but fell 1% in euro terms. Income fell 90% to €73 million because of plant shutdowns, a decline in margins, and drop in overall business in the fourth quarter.
Asia Pacific sales rose 4% in local currencies, but fell slightly in euro terms to €8.7 billion. Earnings dropped €574 million to €254 million, primarily as a result of weaker earnings in the chemicals, plastics and functional solutions segments. The performance products and agricultural solutions segments made a positive contribution.
Sales in South America, Africa and the Middle East rose 12% in local currency terms and 7% in euro terms. Earnings rose 1% percent to €314 million because of the strong performance of the agricultural solutions segment in South America and strong growth in the care chemicals division.
