“We have achieved an initial success through our own efforts,” said Markus Steilemann, the company’s CEO. “This positive momentum shows that Covestro is on the right track. We continue to focus relentlessly on sustainable growth, successful cooperation with our customers and efficiency. In this way, we are pushing ahead with our vision of becoming fully circular.”
In its performance materials business segment, sales were down 25% to €1.8bn and EBITDA fell by 72% to €173m, in the light of volume declines and lower average selling prices. The falls were smaller in the solutions & specialties segment, where sales were down 15% to €1.9bn, again attributed to lower volumes and selling prices. However, a reduction in raw material prices outweighed the lower selling prices.
The company projected that in Q2 its group EBITDA will be between €330m and €439m, and €1.1bn to €1.6bn for the full year. This prediction takes into account Q1 performance, higher margins and an improved cost level.
“The first quarter of 2023 went much better than expected at the beginning of the year, and we’re also confident about the current second quarter,” said CFO Thomas Toepfer. “Against the backdrop of reduced costs and the increased margin level, we also see positive momentum for the further course of the year and have adjusted our guidance for fiscal 2023.”