Arkema Q2 Report 2023

 

Sales of €2.4 billion, down by 23% compared with the particularly high level of Q2’22:

• Volumes down significantly, impacted by overall weak demand in most end markets and continued destocking. The automotive, battery and energy markets nevertheless remained well oriented
• Price effect positive in most product lines but negative at the Group level given, as in the first quarter, the normalization of PVDF and upstream acrylics
• Positive momentum in high performance solutions driven by sustainability trends, which are at the heart of the Group’s strategy

EBITDA of €417 million, down compared with the exceptionally high performance of Q2’22 (€705 million).

EBITDA margin reached a very good level at 17.1%, demonstrating the quality of the product portfolio and dynamic price and mix management

Adjusted net income of €207 million, representing €2.77 per share (€5.99 in Q2’22)

The price effect was a negative 6.6%, impacted by the expected normalization of market conditions in PVDF and upstream acrylics, but it was positive in most other product lines, reflecting the strength of Arkema’s positions. The scope effect was limited (+0.4%), with the integrations of Permoseal and Polytec PT in Adhesive Solutions and of Polimeros Especiales in Coating Solutions offset by the divestment of Febex in early January 2023. The currency effect was a negative 1.9%, primarily reflecting a stronger euro against the US dollar.