Bayer says MaterialScience division here to stay

By Anthony Clark
PLASTICS & RUBBER WEEKLY

Published: March 1, 2013 2:05 pm ET
Updated: March 1, 2013 2:08 pm ET

Image By: Bayer AG Marijn Dekkers

Related to this story

Topics Materials
Companies & Associations Bayer MaterialScience LLC

LEVERKUSEN, GERMANY — Marijn Dekkers, chairman of Bayer AG, confirmed at the company's financial results conference that its MaterialScience division will remain part of the firm's portfolio.

He told his audience that there are efficiency programs in place that will help improve the division's overall performance and increase its profit margin.

"Sales of this subgroup rose by 3 percent compared with 2011 to 11.5 billion euros ($14.9 billion)," Dekkers said. "[Profit] before special items increased by nearly 7 percent to 1.3 billion euros ($1.68 billion). Overall, earnings at MaterialScience were hampered by the rise in raw material and energy costs, which we were unable to pass on in full to our customers."

For 2013 MaterialScience is planning a slight increase in sales on a currency- and portfolio-adjusted basis to around 12 billion euros ($15.6 billion). The division is also expected to achieve a volume-driven expansion beyond the growth rate of the global economy.

Bayer intends to implement efficiency measures to help offset commoditization of the business, the company said. Those efforts "should contribute 1.5 percentage points to the [profit] margin before special items by 2015," the company said.


Comments

Bayer says MaterialScience division here to stay

By Anthony Clark
PLASTICS & RUBBER WEEKLY

Published: March 1, 2013 2:05 pm ET
Updated: March 1, 2013 2:08 pm ET

Post Your Comments


Back to story


More stories

Image

Foster building medical polymers plant

September 19, 2014 1:39 pm ET

Foster Delivery Science is investing $8 million in a new plant in Putnam, Conn., for production of medical polymer blends, as well as rods, film or...    More

Image

BP to restart damaged PTA unit in limited capacity by November

September 19, 2014 10:27 am ET

British Petroleum plc may restart its fire-damaged purified terephthalic acid (PTA) feedstock unit in South Carolina in late October or early...    More

Image

Bayer spinning off plastics business

September 18, 2014 8:49 am ET

Bayer AG will spin off its MaterialScience plastics group into a separate, publicly-traded company within the next 12 to 18 months.    More

Image

Investor group wants DuPont to split in two

September 18, 2014 7:37 pm ET

Investment firm Trian Fund Management LP is calling for plastics and chemicals giant DuPont Co. to split itself into two firms, one of which would...    More

Image

Minnesota receives grant to help develop new bioplastics

September 17, 2014 4:08 pm ET

The University of Minnesota has received a $20 million grant to fund the development of new types of bioplastics.    More

Market Reports

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

Learn more

Thermoformed Packaging 2014 Market Review & Outlook – North America

This in-depth report analyzes economic and market trends, legislative/regulatory activity impacting supply and demand, business opportunities and threats, materials pricing, manufacturing technology, as well as growth strategies being implemented by thermoformed packaging companies.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events