Bayer Posts Rise In Q3 Profit, Lifts Earnings Outlook

Bayer AG

reported a 13% gain in its third-quarter profit and lifted its earnings outlook for the full year. For the full year, Bayer projects sales to increase to EUR42 billion ($53.05 billion), versus a prior forecast of EUR41 billion. The company now expects EBITDA before special items to rise by mid-single-digit percentage, versus low- to mid-single-digit percentage growth. Bayer's quarterly net profit surged to EUR826 million, versus a year-ago profit of EUR733 million. However, analysts were estimating a profit of EUR750 million. Its sales climbed 5.6% to EUR10.19 billion versus EUR9.64 billion. Pharmaceutical sales jumped to EUR3.04 billion compared to EUR2.89 billion, while sales in the healthcare business gained to EUR 4,960 million. Sales in the consumer health segment climbed to EUR 1,921 million, while sales of the agriculture business jumped to EUR 1,929 million from EUR 1,712 million. Sales of the high-tech polymer materials business gained to EUR 3,036 million from EUR 2,897 million. EBITDA before special items gained 1.4% to EUR2.01 billion versus EUR1.98 billion. Gross cash flow climbed 9.1% to EUR 1,492 million. "The strong upward trend in the Life Science businesses - HealthCare and CropScience - persisted in the third quarter. We saw robust sales growth for our recently launched pharmaceutical products and in our CropScience business in North and Latin America," Bayer Management Board Chairman Dr. Marijn Dekkers said. Bayer shares fell 1.55% to close at $135.15 yesterday.