Covestro announces preliminary results for fiscal year 2022

In the course of preparing Covestro’s group accounts for fiscal year 2022, preliminary full-year financial figures deviate from capital market expectations, based on the average values of latest consensus estimates of financial analysts, published by Vara Research on January 12, 2023. 

“Covestro’s business development last year was clearly impacted by the sharp rise in energy and raw material costs, high inflation and a weakening global economy,” says Dr. Markus Steilemann, CEO of Covestro. “Nevertheless, our products are part of the solution to the current crisis and essential for a sustainable and circular future.” 

Dr. Thomas Toepfer, CFO of Covestro, adds: “The recessionary environment and the extraordinary depreciation, in particular as a result of the current difficult economic conditions in Europe, additionally weighed on the Group’s earnings. However, our record-high sales and clearly positive free operating cash flow also show that even in these difficult times we are succeeding in generating cash. Our balance sheet is very solid, so we are also prepared for a prolonged economic downturn.” 

Covestro provides already today the following preliminary key financial data for fiscal year 2022: 

• Preliminary sales amount to 17,968 million euros. The consensus expects this figure to be 17,999 million euros. 
   
• Preliminary EBITDA amounts to approx. 1,610 million euros. The previous guidance expected EBITDA to be between 1,700 million euros and 1,800 million euros. The consensus expects this figure to be 1,679 million euros. 
   
• Preliminary net income amounts to approx. –300 million euros. The consensus expects this figure to be 420 million euros. The Group’s net income is particularly burdened by extraordinary depreciation of non-current assets in the amount of approx. 470 million euros and by adjustments of deferred tax assets in the amount of approx. 250 million euros. 
   
• Preliminary free operating cash flow (FOCF) amounts to approx. 130 million euros. The previous guidance expected FOCF to be between EUR 0 and EUR 100 million. The consensus expects this figure to be –39 million euros. 

The Annual Report 2022 will be published on March 2, 2023.