Suche
Mein Konto
BASF spins off battery materials and agricultural business - no more sales forecasts from 2024. Union criticizes austerity measures.
According to a report by www.finanzen.net, chemical company BASF has announced that it will spin off two of its divisions, namely battery materials and agriculture, to give them more freedom. In addition, BASF plans to no longer state sales targets in the future and instead set margin targets for individual business areas. The planned reduction in CO2 emissions was also announced. The announced measures provoke different reactions, including criticism from the IG BCE union. With its announcement, BASF responded to falling profits and the slump in business this year, which was caused by the weak economy and geopolitical events. The company therefore plans to supplement the sales forecasts from 2024 with targets for...
BASF spins off battery materials and agricultural business - no more sales forecasts from 2024. Union criticizes austerity measures.
According to a report by www.finanzen.net,
The chemical company BASF has announced that it will spin off two of its divisions, namely battery materials and agriculture, in order to give them more freedom. In addition, BASF plans to no longer state sales targets in the future and instead set margin targets for individual business areas. The planned reduction in CO2 emissions was also announced. The announced measures provoke different reactions, including criticism from the IG BCE union.
With its announcement, BASF responded to falling profits and the slump in business this year, which was caused by the weak economy and geopolitical events. The company therefore plans to replace the sales forecasts with targets for adjusted earnings before interest, taxes, depreciation and special items (adjusted EBITDA) and free cash flow from 2024 onwards. This change in financial reporting will impact investors and BASF's stock price. The spin-off of two divisions may have an impact on jobs and the efficiency of the units concerned.
In addition, the focus on reducing CO2 emissions represents a clear commitment by the company to sustainability and environmental protection. These measures could improve BASF's reputation with regard to ESG criteria (environmental, social, governance) and impact the investment decisions of ESG-oriented investors.
The IG BCE union's criticism of the planned measures points to potential social unrest, particularly with regard to the planned spin-offs and job cuts. BASF's share price reacted positively to the news, indicating investor confidence in the company's long-term vision. The impact on BASF shares could also be influenced by the market's reaction to future developments regarding the implementation of the announced measures and the company's financial results.
Read the source article at www.finanzen.net