Bayer’s sales grew by double-digit percentages in all regions and achieved particularly strong growth at Herbicides (Fx & portfolio adj. 59.8 per cent) and Fungicides (Fx & portfolio adj. 18.6 per cent)
The Bayer Group had a very successful start to 2022. “We achieved outstanding sales and earnings growth, with particularly substantial gains for our agriculture business,” said Werner Baumann, Chairman of the Board of Management, on Tuesday as he presented the quarterly statement for the first quarter of 2022.
In the agricultural business (Crop Science), sales rose by 21.6 per cent (Fx & portfolio adj.) to 8.447 billion euros thanks to substantial price and volume growth. Bayer’s sales grew by double-digit percentages in all regions and achieved particularly strong growth at Herbicides (Fx & portfolio adj. 59.8 per cent) and Fungicides (Fx & portfolio adj. 18.6 per cent). While there was particularly strong growth for Herbicides in North America, Fungicides generated double-digit percentage sales growth in all regions. Corn Seed & Traits posted sales gains, primarily due to price increases in all regions. Here, Bayer also benefited from volume gains in the Europe/Middle East/Africa, Latin America, and Asia/Pacific regions. Sales at Soybean Seed & Traits were level with the prior-year period (Fx & portfolio adj. up 0.8 percent), and were higher in North America due to price increases but lower in Latin America due to lower volumes.
EBITDA before special items at Crop Science advanced by 49.9 per cent to 3.669 billion euros, driven mainly by higher prices. Bayer also benefited from higher volumes and ongoing efficiency programs. By contrast, earnings were diminished by an increase in costs, particularly in the cost of goods sold, that was mainly due to high inflation. There was a positive currency effect of 98 million euros (Q1 2021: minus 252 million euros). The EBITDA margin before special items increased significantly by 6.6 per cent points to an all-time high of 43.4 percent; currency effects had a dilutive effect of 0.8 percentage points.
