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Bayer shares little changed after mixed Q2 results

Published 08/06/2024, 03:28 PM
© Reuters.

Investing.com -- Bayer AG 's (ETR:BAYGN) shares were little changed on Tuesday following its second-quarter results.

The German pharmaceutical and life sciences giant reported group sales of €11.144 billion, marking a 3.1% increase on a currency- and portfolio-adjusted basis. 

However, the company's EBITDA before special items fell by 16.5% to €2.111 billion, mainly due to currency headwinds and an unfavorable product mix.

The crop science division saw a modest 1.1% increase in sales to €4.981 billion, driven by higher glyphosate-based herbicide sales and strong performance in North America.

“Our Crop Science business nearly offset headwinds in a challenging agricultural market environment,” said Bayer AG’s chief executive Bill Anderson.

Despite this, EBITDA before special items for the division declined by 27.7% to €524 million, reflecting challenges such as an unfavorable product mix and a softer market environment.

In Pharmaceuticals, sales rose by 4.5% to €4.605 billion, bolstered by significant growth from new products Nubeqa  and Kerendia, which reported growth rates of 90.0% and 72.9%, respectively. 

Nonetheless, EBITDA before special items fell by 4.1% to €1.322 billion, affected by currency fluctuations and an unfavorable product mix.

The consumer health division experienced a 5.3% increase in sales to €1.458 billion, with growth particularly strong in digestive health and dermatology. Despite a 6.3% fall in EBITDA before special items to €314 million, the division’s growth was seen as a positive development.

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