BASF Releases 2025 Preliminary Results: Full-Year Sales and Earnings Decline

BASF announced its preliminary full-year 2025 results on January 23, revealing a decline in both sales and earnings. This was primarily due to lower product prices and higher restructuring costs, which offset the positive impact of increased sales volumes. The overall financial figures were below the forecasts from Vara Research and S&P Capital IQ.

BASF anticipates full-year 2025 sales of €59.7 billion, a 2.8% decrease compared to €61.4 billion in 2024. This is primarily due to negative currency effects and slightly lower product prices, only partially offset by a slight increase in sales volumes. This sales figure is in line with Vara Research's forecast but slightly below the €61 billion predicted by S&P Capital IQ.

For 2025, BASF's projected earnings before interest, taxes, depreciation, and amortization (EBITDA) stand at €6.6 billion, slightly below Vara Research's forecast of €6.7 billion and also below BASF's previous guidance range of €6.7 billion to €7.1 billion. This represents a decline from €7.2 billion in 2024. BASF stated: "The profit decline compared to the previous year is mainly due to lower margins and negative currency effects."

BASF expects its full-year 2025 earnings before interest and taxes (EBIT) to be €1.6 billion, significantly below Vara Research's forecast of €2.2 billion, and an 11.1% decrease from 2024. BASF stated that this is mainly due to increased restructuring costs, as "the company's announced restructuring measures are progressing faster than planned."

Net income was an exception in this overall performance decline, primarily benefiting from the "increased earnings contribution from the Wintershall Dea associate accounted for using the equity method." BASF stated that full-year net income for 2025 is expected to be €1.6 billion, a 23.1% increase compared to 2024, which is higher than Vara Research's forecast of €1.2 billion and largely in line with S&P's prediction of €1.55 billion.