July 30, 2010

 

BASF reports sales increase in South America, Africa and Middle East

 

 

German chemical firm BASF's sales increased 33% to EUR830 million (US$1.08 billion) in South America, Africa and the Middle East in the second quarter of this year compared to EUR625million (US$812 million) a year earlier, the company said in its quarterly results report.

EBIT before special items was EUR67million (US$87 million) in Q2, up 8% on-year.
 

The agriculture solutions business unit in South America made an important contribution to sales growth, with favourable exchange rates and strong volumes, BASF said.

 

The coatings division also saw a significant increase in sales in South America, Africa and Middle East, despite declining prices for architectural coatings.

 

Globally, BASF's Q2 net income jumped 245% to EUR1.18 billion (US$1.53 billion) on-year, while sales were up 30% to EUR16.2 billion (US$21 billion). Sales grew in all regions, with Asia Pacific standing out with a 51% rise to EUR3 billion (US$3.9 billion).

 

Global chemical sales climbed 64% to EUR2.97 billion (US$3.86 billion) in April-June on high demand, while plastics sales rose 48% to EUR2.58 billion (US$3.35 billion) compared to weak sales in the same period of 2009.

 

Performance products sales were up 29% to EUR3.15 billion (US$4.09 billion) due to higher volumes and prices. Functional solutions sales reached EUR2.45 billion (US$3.18 billion), a 40% increase as a result of stronger demand from the automotive industry.

 

Agriculture solutions sales rose 3% globally to EUR1.21 billion (US$1.57 billion) in Q2. The oil and gas segment was the only division to see a decline in sales, which were 3% lower in the period.