Performance Materials
| Performance Materials key data | ||||||
|---|---|---|---|---|---|---|
| 4th quarter 2023 | 4th quarter 2024 | Change | 2023 | 2024 | Change | |
| Sales (external) | €1,588 million | €1,670 million | 5.2% | €6,876 million | €6,970 million | 1.4% |
| Intersegment sales | €488 million | €510 million | 4.5% | €2,194 million | €2,228 million | 1.5% |
| Sales (total) | €2,076 million | €2,180 million | 5.0% | €9,070 million | €9,198 million | 1.4% |
| Change in sales (external) | ||||||
| Volume | 7.7% | 5.6% | –6.7% | 11.9% | ||
| Price | –22.0% | –0.1% | –15.7% | –9.6% | ||
| Currency | –2.8% | –0.3% | –2.0% | –0.9% | ||
| Sales by region (external) | ||||||
| EMLA | €674 million | €739 million | 9.6% | €3,021 million | €3,102 million | 2.7% |
| NA | €414 million | €400 million | –3.4% | €1,844 million | €1,720 million | –6.7% |
| APAC | €500 million | €531 million | 6.2% | €2,011 million | €2,148 million | 6.8% |
| EBITDA1 | €16 million | €145 million | 806.3% | €576 million | €569 million | –1.2% |
| EBIT1 | (€126 million) | (€55 million) | –56.3% | €9 million | (€42 million) | . |
| Cash flows from operating activities | €169 million | €355 million | 110.1% | €652 million | €574 million | –12.0% |
| Cash outflows for additions to property, plant, equipment and intangible assets | €190 million | €226 million | 18.9% | €490 million | €496 million | 1.2% |
| Free operating cash flow | (€21 million) | €129 million | . | €162 million | €78 million | –51.9% |
1 EBITDA and EBIT include the effect on earnings of intersegment sales.
Sales in the Performance Materials segment were up 1.4% to €6,970 million in fiscal 2024 (previous year: €6,876 million). This was mainly driven by an 11.9% rise in volumes sold. In contrast, a demand-related 9.6% decrease in average selling prices had the effect of reducing sales. In addition, changes in exchange rates had an adverse effect of 0.9% on sales.
In the EMLA region, sales increased by 2.7% to €3,102 million (previous year: €3,021 million). This is predominantly thanks to a significant uptick in volumes sold, driven by availability factors, although this was largely offset by a substantially lower selling price level. Exchange rate movements had no notable effect on sales. The NA region’s sales dropped by 6.7% to €1,720 million (previous year: €1,844 million), principally because of a considerable decline in average selling prices, which could only partially be offset by a slight rise in volumes sold. Exchange rate changes had a neutral effect on sales. The APAC region’s sales climbed 6.8% to €2,148 million (previous year: €2,011 million), principally because of a significant rise in volumes sold. In contrast, a lower selling price level and exchange rate movements had a slightly diminishing effect on sales.
EBITDA in the Performance Materials segment fell by 1.2% over the previous year to €569 million (previous year: €576 million). This was mainly driven by reduced margins, as lower raw material and energy costs were unable to offset the demand-related decline in selling prices. In addition, a decline in insurance compensation due to production stoppages had a negative effect on earnings. In this context, insurance compensation of €55 million in the reporting year was compared to a compensation of €75 million in the previous year, which had a neutral effect at the Group level. In addition, exchange rate movements had a decreasing effect on earnings. In contrast, EBITDA went up, mainly due to a rise in volumes sold. Earnings were also boosted by additional state subsidies of €55 million to compensate for electricity prices. Gains on the sale of intangible assets of €46 million had an additional positive effect on the Performance Materials segment’s earnings.
EBIT declined to €–42 million (previous year: €9 million).
Free operating cash flow decreased by 51.9% to €78 million (previous year: €162 million), mainly because of a year-on-year decline in funds freed up from working capital and lower EBITDA. The change in working capital was predominantly due to a rise in inventories, which was partially offset by higher trade accounts payable.