Brenntag Ag ( (BNTGY) ) has released its Q3 earnings. Here is a breakdown of the information Brenntag Ag presented to its investors.
Brenntag AG is a global leader in chemical and ingredients distribution, offering a comprehensive portfolio of specialty chemicals and industrial ingredients, as well as customized solutions for a variety of industries worldwide. The company operates through two main divisions, Brenntag Essentials and Brenntag Specialties, across a network of around 600 locations in 72 countries.
In the first nine months of 2024, Brenntag reported a challenging financial performance due to ongoing difficult market conditions. The company’s operating EBITA decreased by 13.5% to EUR 837.9 million year-on-year, while the operating gross profit slightly declined by 0.5% to EUR 3,031.5 million. Sales also saw a fall of 4.9% compared to the same period in the previous year.
Key financial highlights included a significant drop in free cash flow by 56.2% to EUR 579.6 million, reflecting higher working capital and increased investments. Additionally, earnings per share fell from EUR 3.80 in the first nine months of 2023 to EUR 2.82 in 2024. Brenntag also engaged in strategic acquisitions, including Solventis Group and Industrial Chemicals Corporation, aimed at expanding its regional presence and service capabilities.
Despite the current challenges, Brenntag maintains its operating EBITA guidance for the full year 2024 within the range of EUR 1.1 billion to EUR 1.2 billion. The company continues to focus on its ‘Strategy to Win,’ emphasizing portfolio optimization, sustainability, and market consolidation through mergers and acquisitions.
