Regions

Q1 2019

Sales at companies located in Europe declined by 4% compared with the first quarter of 2018. This was attributable to lower volumes and prices, primarily in the Materials and Chemicals segments. Portfolio effects in the Agricultural Solutions segment from the acquisition of significant businesses and assets from Bayer in August 2018 had an offsetting impact. Income from operations (EBIT) was €819 million, down €578 million from the figure in the prior-year quarter. This was mainly due to the considerably lower contributions from Other and the Materials segment.

In North America, sales rose by 14% in local currency terms and 21% in euros, mainly due to portfolio effects in the Agricultural Solutions segment. Positive currency effects in all segments and higher prices, especially in the Surface Technologies segment, also contributed to the sales growth. By contrast, lower volumes had a negative impact on sales. EBIT grew by €328 million to €645 million, largely as a result of the considerably higher contribution from the Agricultural Solutions segment. We also recorded considerably higher EBIT in the Industrial Solutions segment.

Sales in Asia Pacific declined by 8% in local currency terms and 5% in euros. This was driven by lower prices, particularly in the Materials segment. In addition, sales volumes declined in the Surface Technologies, Chemicals and Industrial Solutions segments. Positive currency effects in all segments and portfolio effects in the Agricultural Solutions segment had an offsetting effect. EBIT declined by €305 million compared with the first quarter of 2018 to €283 million. This was primarily attributable to the lower contribution from the Materials segment.

In the region South America, Africa, Middle East, we increased sales by 19% in local currency terms and 12% in euros. This was mainly due to higher prices, especially in the Agricultural Solutions and Surface Technologies segments, as well as portfolio effects in the Agricultural Solutions segment. Volumes growth also had a positive impact on sales. Negative currency effects dampened sales in all segments. At €11 million, EBIT exceeded the figure for the first quarter of 2018 by €50 million. All segments except Materials recorded higher EBIT.