- Q2 2025 adjusted EBITDA fell 12% to €509 million.
- Quarterly revenue dropped 11% to €3.50 billion.
- Free cash flow was €-211 million, impacted by higher net working capital.
- Capital expenditures reduced by €100 million to €750 million for 2025.
Financial Performance
In Q2 2025, Evonik's adjusted EBITDA decreased by 12% to €509 million, compared to €578 million in Q2 2024. Revenue fell by 11% to €3.50 billion, influenced by unfavorable currency effects and the divestment of the superabsorbents business. Sales volumes dropped by 4%, while prices remained stable.
Segment Analysis
In the Custom Solutions segment, revenue declined by 7% to €1.37 billion due to lower volumes and negative currency effects. The Advanced Technologies segment saw a 1% sales decrease to €1.51 billion, with slight declines in selling prices and currency effects, though volumes increased slightly.
Operational Challenges
Longer maintenance shutdowns for polyamide 12 and other products contributed to the revenue decline. The adjusted EBITDA margin was 14.5%, close to last year's 14.7%. Net income improved to €120 million from €-5 million in the previous year, which was affected by provisions for an efficiency program.
Outlook
Evonik expects adjusted EBITDA for 2025 to reach the lower end of the €2.0 billion to €2.3 billion range, assuming no further global economic weakening. The company plans to reduce capital expenditures by €100 million to €750 million to maintain a cash conversion rate of around 40%. The return on capital employed is expected to align with the previous year's 7.1%.
