BASF Report 2025

Net Assets and Financial Position of BASF SE

The content of this section is not part of the statutory audit of the annual financial statements but has undergone a separate limited assurance by our auditor.

The content of this section is voluntary, unaudited information, which was critically read by the auditor.

Net Assets

Assets

Million €

December 31, 2025

December 31, 2024

Intangible assets

766

947

Property, plant and equipment

3,382

3,341

Financial assets

27,465

27,326

Fixed assets

31,613

31,614

Inventories

3,155

2,940

Accounts receivable, trade

798

862

Receivables from affiliated companies

16,367

16,612

Miscellaneous receivables and other assets

625

702

Receivables and other assets

17,790

18,176

Cash and cash equivalents

1,073

1,112

Current assets

22,018

22,228

Prepaid expenses

139

159

Deferred tax assets

Total assets

53,770

54,001

Total assets declined by €231 million compared with December 31, 2024, to €53,770 million.

Fixed assets remained at the previous year's level. Intangible assets declined by €181 million. Amortization was higher than investments in the fiscal year. Property, plant and equipment increased by €41 million, with investments slightly higher than depreciation. Impairments amounted to €56 million and write-ups to €42 million in the fiscal year. Financial assets increased by €139 million.

Current assets and other assets decreased by €230 million. Receivables from affiliated companies declined by €245 million due in particular to the repayment of financial investments within the Group, which were offset by higher profit transfers. In addition, trade accounts receivable declined by €64 million and other assets declined by €77 million. Cash and cash equivalents decreased by €39 million and consisted of cash at banks and on hand as of December 31, 2025. By contrast, inventories increased by €215 million, mainly due to a change in accounting and valuation methods.

Financial Position

Equity and liabilities

Million €

December 31, 2025

December 31, 2024

Subscribed capital

1,142

1,142

Treasury shares

–10

Issued capital

1,132

1,142

Capital reserve

3,172

3,172

Retained earnings

16,895

16,544

Retained profits

2,665

2,704

Equity

23,864

23,562

Special reserves

47

49

Provisions for pensions and similar obligations

708

529

Provisions for taxes

339

201

Other provisions

1,761

1,390

Provisions

2,808

2,120

Financial indebtedness

15,238

17,547

Accounts payable, trade

810

1,044

Liabilities to affiliated companies

10,003

8,760

Miscellaneous liabilities

774

683

Liabilities

26,825

28,034

Deferred income

226

236

Total equity and liabilities

53,770

54,001

Equity increased by €302 million. The net income of €2,665 million was offset by the dividends of €2,008 million paid for the 2024 business year, and share buybacks amounting to €355 million. The corresponding disclosures pursuant to section 160(1) no. 2 of the German Stock Corporation Act (AktG) are contained in Note 15 - Subscribed capital of the BASF SE Annual Financial Statements for 2025.

Provisions increased by a total of €688 million. This included an increase in provisions for pensions of €179 million to €708 million. This was due to the €415 million decrease in plan assets, mainly due to contractually agreed pension pay-outs. Conversely, pension obligations decreased by €236 million, mainly due to benefits paid and changes to actuarial valuation parameters. Pension obligations in the amount of €6,762 million were offset against pension plan assets totaling €6,054 million. Provisions for taxes rose by €138 million. In addition, other provisions increased by €371 million, mainly due to higher provisions for employee obligations, which increased by €365 million. These include, among other things, €243 million higher provisions for restructuring measures.

Liabilities and other items decreased by a total of €1,219 million. Financial indebtedness decreased by €2,309 million, mainly due to repayments. On the other hand, liabilities to affiliated companies increased by €1,243 million, mainly due to the increase in intragroup borrowings.

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