Business review Sales grow by 27% to €16,331 million, mainly due to higher prices Stronger margins increase EBIT before special items by 108% to €4,233 million In the Chemicals segment, sales to third parties increased by €3,426 million to €16,331 million in 2017 (volumes 5%, prices 23%, portfolio 0%, currencies –1%). This was primarily attributable to higher prices, especially in the Monomers division. We increased volumes in all divisions. Income from operations (EBIT) before special items rose by €2,201 million to €4,233 million, mainly as a result of higher margins for isocyanates in the Monomers division. Stronger margins in the Petrochemicals and Intermediates divisions also contributed to the increase in earnings; slightly higher fixed costs had an offsetting effect. The negative impact on earnings in 2017 caused by the North Harbor accident at the Ludwigshafen site in October 2016 was compensated by insurance payments. EBIT rose by €2,255 million to €4,208 million. Overall, special items did not have a substantial impact. Click here for the Outlook for 2018 (XLS:) Download Segment data1 (million €) 2017 2016 Change in % 1 On January 1, 2017, the Monomers and Dispersions & Pigments divisions’ activities for the electronics industry were merged into the global Electronic Materials business unit andallocated to the Dispersions & Pigments division. For better comparability, the affected figures for 2016 have been adjusted accordingly. 2 Amortization of intangible assets and depreciation of property, plant and equipment (including impairments and reversals of impairments) 3 Additions to intangible assets and property, plant and equipment Sales to third parties 16,331 12,905 27 Thereof Petrochemicals 6,389 5,035 27 Monomers 6,963 5,189 34 Intermediates 2,979 2,681 11 Intersegmental transfers 6,063 4,832 25 Sales including intersegmental transfers 22,394 17,737 26 Income from operations before depreciation and amortization (EBITDA) 5,374 3,114 73 EBITDA margin % 32.9 24.1 – Amortization and depreciation2 1,166 1,161 0 Income from operations (EBIT) 4,208 1,953 115 Special items (25) (79) 68 EBIT before special items 4,233 2,032 108 EBIT after cost of capital 2,895 690 320 Assets 13,233 13,124 1 Investments including acquisitions3 1,149 1,185 (3) Research and development expenses 128 145 (12) back next