Leverkusen, Germany — Polyurethanes sales at Covestro were down by 20.1% in the third quarter of 2019 at EUR 1.48bn. In the same period last year sales were EUR 1.85bn.
EBITDA in the division was lower by 54.6% compared with the third quarter of 2018. EBITDA was EUR 196m in the third quarter of 2019.
The company said that the fall in prices between quarters reduced sales by 24.4%. Prices fell, 'chiefly due to more intense competitive pressure,' Covestro said. It added that volumes were up and without this, sales would have been 2.5% lower. Volumes increased in the furniture and electrical and electronics industries, said the company. The rise was most notable in household appliances, and construction sectors. These ' more than offset weaker demand from the automotive industry'.
The company's Coatings Adhesives Specialties business sales shrank by 3.0% between the third quarter 2018 and 2019. They reached EUR 588m the third quarter of 2019. This compares with EUR 606m in the third quarter of 2018.
Lower volumes and prices hit sales. The fall in volumes was due to weaker demand for coating precursors in the automotive sector.
Lower sales fed through to lower earnings. EBITDA in the division shrank by 11.9%. It was EUR 111m the third quarter 2019. This compares with EUR 126m in the third quarter of 2018.
Company wide sales were EUR 3.16bn the third quarter of 2019.This is lower by 14.6% than the same period in 2018. EBITDA across the business fell 50.5% and hit EUR 196m in the third quarter of 2019.
