- Q3 2025 adjusted EBITDA was €448 million, down 22% from Q3 2024.
- Revenue decreased by 12% to €3.39 billion, with lower sales volumes and unfavorable exchange rates.
- Free cash flow was €300 million, showing a positive trend.
- Capital expenditure for 2025 is projected at €750 million.
Financial Performance
In Q3 2025, Evonik reported an adjusted EBITDA of €448 million, a 22% decline from the previous year's €577 million. Revenue fell by 12% to €3.39 billion, impacted by lower sales volumes and unfavorable exchange rates, particularly a weak U.S. dollar. The adjusted EBITDA margin decreased to 13.2% from 15.1% in Q3 2024.
Cash Flow and Investments
Free cash flow was €300 million, showing a positive trend due to strict management of investments and net working capital. Capital expenditure for the year is projected at €750 million, down from €840 million in 2024.
Market Conditions and Outlook
Evonik faced high uncertainty and weak demand, with an anticipated recovery in September not materializing. The company expects demand to remain weak through the end of the year, projecting a full-year adjusted EBITDA of around €1.9 billion, down from €2.07 billion in 2024. The cash conversion rate is expected to be between 30% and 40%, compared to 42% in 2024.
Strategic Initiatives
The Evonik Tailor Made efficiency program is progressing as planned, with 90% of business lines expected to be restructured by year-end. The company has focused on pricing, increasing prices by an average of 2% in the Custom Solutions segment. In the Advanced Technologies segment, volumes fell by only 2%, reflecting solid performance in a challenging environment.
