The chemical group Evonik expects a decline in profits this year in what will remain a difficult market environment. The adjusted earnings before interest, taxes, depreciation and amortization (Ebitda) should be between 2.1 billion and 2.4 billion euros and thus below the previous year’s result of almost 2.5 billion euros, as the MDax group announced. Sales should be between 17 billion and 19 billion euros – after 18.5 billion euros in the previous year.

Against the background of numerous imponderables, one looks to 2023 with cautious optimism. The outlook is made more difficult by the lack of clarity as to how sustainable energy prices and inflation will calm down again and how strong the economic recovery of the global economy and especially China will be. “Especially in the first quarter, the negative development of the second half of 2022 is likely to continue.”

Evonik boss Christian Kullmann also wants to achieve the goals with savings of 250 million euros. Among other things, the Essen-based group wants to refrain from filling vacancies for six months that are not absolutely necessary. However, there should not be any downsizing, and short-time work is basically not an issue either, said Human Resources Director Thomas Wessel.

Kullmann had already announced a savings program in the fall. Restrictions on business trips and trade fair appearances as well as the use of external consultants are also planned.

1.17 Euro Dividend your Action

In 2022, Evonik increased its operating profit by 4 percent to EUR 2.49 billion despite a weak final quarter. This is the highest value since 2012, the company emphasized. The bottom line is that the people of Essen earned 540 million euros – 28 percent less than in the previous year. Driven by price increases, sales climbed 24 percent to 18.5 billion euros.

Evonik intends to pay shareholders a dividend of EUR 1.17 per share again. The largest shareholder is the RAG Foundation with 56 percent. The foundation is responsible for financing the so-called perpetual obligations of hard coal mining, which includes the constant pumping out of mine water.

Evonik produces specialty chemicals for things like car tires, mattresses, pharmaceuticals, disposable diapers, and pet food. The group is active in over 100 countries. At the end of the year, Evonik employed a good 34,000 people, around 60 percent of them in Germany.