BASF Confirms 2026 Guidance as Q1 Net Income Climbs Despite Sales Slump

BASF Group posted a rise in net income for the first quarter of 2026, navigating a complex environment of currency headwinds and pricing pressures. Net income reached 927 million euros, marking a 14.8% increase over the 808 million euros reported in the same period last year. Earnings per share rose to 1.06 euros, up 16.6% year-over-year. The company faced a 3% drop in sales, which fell to 16.02 billion euros. This decline was primarily attributed to adverse currency effects exceeding 100 million euros and competitive pricing pressure across most business segments, including Chemicals, Materials, Industrial Solutions, Nutrition & Care, and Agricultural Solutions. In contrast, the Surface Technologies segment saw price increases driven by higher precious metal costs. On the operational side, adjusted EBITDA fell 5.6% to 2.36 billion euros, with margins contracting slightly to 14.7% from 15.1%. The company noted that without currency headwinds, adjusted EBITDA would have remained flat compared to the prior year. Looking forward, BASF confirmed its fiscal 2026 adjusted EBITDA guidance of 6.2 billion to 7.0 billion euros. The company also maintained its annual dividend at 2.25 euros per share, aligning with a broader strategy to distribute at least 12 billion euros to shareholders through dividends and buybacks between 2025 and 2028. Volume growth remained solid, particularly in China and regions impacted by conflict in the Middle East.