Dear Shareholders,
BASF is an integrated company
with a broad portfolio and a global presence.
This setup has proved its value –
especially in these challenging economic times.
In 2023, we achieved record results
in our Coatings and Agricultural Solutions divisions,
which partially offset weak results
from other segments.
We remain in a strong financial position.
We have achieved a strong cash flow
from operating activities.
And BASF continues to have a high equity ratio
and a strong balance sheet.
We are therefore proposing a dividend of 3.40 euros per share
to the Annual Shareholders’ Meeting.
This is on par with the prior year.
However, our financial strength
should not distract us from the fact
that 2023 was economically disappointing.
The entire chemical industry is in upheaval.
Geopolitical conflicts,
a weak economic situation and high interest rates
due to persistent inflation
continue to shape developments worldwide.
As a result, our sales decreased by 21 percent
and amounted to 68.9 billion euros.
Our EBIT before special items
declined to 3.8 billion euros.
We were unable to offset this significant drop
even with our consistent cost management.
That is why we will not ease up on this.
We are particularly concerned about Europe
and especially the German market.
Structurally higher energy prices,
pronounced weak growth
and overregulation pose major challenges
for us here.
We have ambitious plans for the future.
We have customers all over the world.
We will continue to strengthen these relationships.
And we are convinced
that we will gain new customers.
We are constantly expanding our portfolio of products
with a low carbon footprint.
We are driving the circular economy.
We are frontrunners on the path to climate neutrality.
We are aiming for net-zero CO2 emissions
for our production and energy procurement by 2050.
We also intend to significantly reduce
the greenhouse gas emissions of our purchased raw materials.
I am excited to see
how the entire BASF team
is pulling together to achieve this.
We are working on our competitiveness,
profitability and our long-term goal
of climate neutrality.
I am certain
that we will succeed in all of this.
Because we are a strong company.
We have the will to change.
We are rethinking chemistry.