Industrial Solutions

Q2 2021

Sales in the Industrial Solutions segment were considerably higher than in the prior-year quarter, particularly in the Dispersions & Pigments division.

Factors influencing sales in Q2 2021 – Industrial Solutions

 

Industrial Solutions

Dispersions & Pigments

Performance Chemicals

Volumes

26%

25%

26%

Prices

9%

13%

1%

Portfolio

0%

0%

0%

Currencies

–5%

–4%

–5%

Sales

30%

34%

22%

The sales growth was largely attributable to higher volumes in almost all businesses in both divisions. This segment’s sales volume development had been heavily impacted by the effects of the coronavirus pandemic in the prior-year quarter.

Higher price levels in both divisions, mainly due to increased raw materials prices, had a positive impact on sales. Especially the Dispersions & Pigments division increased prices considerably.

Sales performance was weighed down by negative currency effects, mainly relating to the U.S. dollar.

Income from operations (EBIT) before special items rose considerably in both divisions compared with the second quarter of 2020. This was largely driven by the positive development of sales volumes in both divisions.

EBIT in the second quarter of 2021 included special income from the sale of the global pigments business. After the completion of the sale of BASF’s global pigments business, the Dispersions & Pigments division was renamed Dispersions & Resins as of July 1, 2021.

Segment data – Industrial Solutions (Million €)

 

Q2

H1

 

2021

2020

+/–

2021

2020

+/–

Sales to third parties

2,359

1,819

30%

4,467

3,917

14%

of which Dispersions & Pigments

1,574

1,173

34%

2,923

2,474

18%

Performance Chemicals

785

646

22%

1,544

1,443

7%

Income from operations before depreciation, amortization and special items

388

280

39%

738

623

18%

Income from operations before depreciation and amortization (EBITDA)

424

225

88%

767

560

37%

Depreciation and amortizationa

84

92

–9%

168

187

–10%

Income from operations (EBIT)

340

133

156%

599

373

61%

Special items

33

–30

.

26

–63

.

EBIT before special items

307

163

88%

573

436

31%

Assets (June 30)

5,881

6,983

–16%

5,881

6,983

–16%

Investments including acquisitionsb

70

68

3%

132

135

–2%

Research and development expenses

46

43

7%

90

88

2%

a

Depreciation and amortization of property, plant and equipment and intangible assets (including impairments and reversals of impairments)

b

Additions to property, plant and equipment and intangible assets