Investing
Bayer sees lower 2023 operating profit on cost inflation
![](https://personalfinancedefined.com/wp-content/uploads/2023/02/indicatornews_4_800x533_L_1413112066.jpg)
© Reuters. FILE PHOTO: Logo of Bayer AG is pictured at the annual results news conference of the German drugmaker in Leverkusen, Germany February 27, 2019. REUTERS/Wolfgang Rattay/File Photo
By Ludwig Burger
FRANKFURT (Reuters) -Agriculture and healthcare company Bayer (OTC:) said operating earnings would likely decline in 2023, hurt by higher costs and the reversal of last year’s price boost for its glyphosate-based weedkillers.
In a statement on Tuesday, Bayer said earnings before interest, taxes, depreciation and amortisation (EBITDA), adjusted for special items, would likely be between 12.5 billion euros ($13.23 billion) and 13 billion euros this year, excluding the effect of currency swings.
That would be a decline from the 13.5 billion reported for 2022, which was up 20.9% from a year earlier and slightly higher than analysts had expected on average, according to a consensus posted on the company’s website.
In his last presentation of the company’s quarterly results, Chief Executive Werner Baumann said the company is active in the right areas of business.
“Health and nutrition are fundamental human needs,” he said.
Bayer said this month it would replace its CEO early, recruiting the former head of Roche’s pharmaceuticals business, Bill Anderson, amid demands by some investors that Bayer should simplify its diversified structure and split into separate groups.
Bayer, which acquired glyphosate products as part of its 2018 takeover of Monsanto (NYSE:), saw herbicide sales jump 44% in 2022 after hurricane Ida damaged rival producers and constrained Chinese suppliers were not able to make up for the gap.
For 2023, “the company anticipates lower prices for agricultural herbicides as well as for some of its established pharmaceutical products,” Bayer said, also citing high inflation-driven cost increases.
($1 = 0.9447 euros)
Read the full article here
![](https://personalfinancedefined.com/wp-content/uploads/2023/02/pf-logo.png)
-
Personal Finance5 days ago
Americans reveal their biggest financial regret about potential retirement
-
Investing6 days ago
Israel stocks lower at close of trade; TA 35 down 0.88% By Investing.com
-
Side Hustles6 days ago
5 Key Strategies for Attracting and Retaining Top Talent
-
Passive Income4 days ago
5 Ways to Push Past Your Comfort Zone
-
Make Money6 days ago
A Labor Day Salute to You — the American Worker
-
Personal Finance6 days ago
Fed interest rate cuts won't help your credit card debt
-
Passive Income6 days ago
Work Smarter with 12 Months of Microsoft 365 for Just $45
-
Side Hustles5 days ago
Don’t Wait to Fire That Toxic Client — It’s Vital For Your Business Health