Lanxess Half-Year Report 2023

Done

August 3, 2023

Sales of the LANXESS Group in the second quarter of 2023
amounted to €1,778 million, down €221 million or 11.1%
from the previous year’s figure.

The sales development was
particularly influenced by weak demand in large parts of the
industry, ongoing inventory reduction among our customers,
and lower selling prices. Overall, lower volumes resulted in a
sales decline of 8.6% and lower selling prices reduced sales by
5.9%. In addition, shifts in exchange rates had a negative effect
and reduced sales by 1.5% in total. In contrast, the portfolio
changes led to an increase in sales at Group level due to the
contribution from the Microbial Control business acquired at the
beginning of July 2022. Overall, there was a positive portfolio
effect of 4.9% at Group level.

In the first six months of fiscal year 2023, sales decreased by
€253 million, or 6.4%, to €3,677 million. In the previous year,
half-year sales amounted to €3,930 million. In the first half of
the year, the sales decline resulted in particular from significantly
lower volumes due to continued weak demand and ongoing
inventory reduction among our customers. The change in selling
prices and shifts in exchange rates reduced sales only slightly.
The contribution from the Microbial Control business acquired
at the beginning of July 2022 had a positive effect on sales.
Adjusted for currency and portfolio effects, the LANXESS Group
recorded an 11.3% decline in operational sales in the first half
of the year.