Specialty chemicals firm LANXESS records notable EBITDA growth in Q1 2025, driven by cost-saving initiatives and improved capacity utilization, while maintaining stable sales despite geopolitical challenges and weak global market conditions.
27 May 2025 | 905 Views | By Sarthak Mahajan
LANXESS, a global player in the specialty chemicals sector, has begun the fiscal year 2025 with a sharp uptick in earnings, reporting a 31.7% increase in EBITDA pre exceptionals to EUR 133 million in Q1, up from EUR 101 million during the same period last year. The company cited enhanced ...
This is an Autocar Pro Plus article. Subscribe to continue reading.
LANXESS, a global player in the specialty chemicals sector, has begun the fiscal year 2025 with a sharp uptick in earnings, reporting a 31.7% increase in EBITDA pre exceptionals to EUR 133 million in Q1, up from EUR 101 million during the same period last year. The company cited enhanced operational efficiency and savings under its “FORWARD!” action plan as key drivers behind this performance, even amid a sluggish global economic environment.
Sales remained relatively steady at EUR 1.601 billion compared to EUR 1.607 billion in Q1 2024. While increased volumes in most segments supported revenue, lower pricing partially offset gains. Net income for the quarter stood at minus EUR 57 million, showing an improvement over the previous year’s minus EUR 98 million.
LANXESS reaffirmed its full-year guidance, expecting EBITDA pre exceptionals in the range of EUR 600–650 million. The company also anticipates Q2 earnings to surpass Q1 levels but remain lower year-on-year, primarily due to the exclusion of contributions from its recently divested Urethane Systems business, sold to Japan’s UBE Corporation on April 1, 2025.
Segment-wise, Consumer Protection led with a 49% rise in EBITDA pre exceptionals, while Specialty Additives and Advanced Intermediates also posted gains despite mixed sales trends. The Urethane Systems sale marks LANXESS’s final exit from the polymer segment, aligning its portfolio fully with specialty chemicals. Proceeds from the sale are set to redeem a EUR 500 million bond maturing in May 2025.
LANXESS closed 2024 with EUR 6.4 billion in sales and a global workforce of around 12,000 employees. The company continues to maintain strong ESG ratings and a focus on sustainable operations.