Bayer 2Q Profit Fell Sharply, Backs 'Increasingly Ambitious' Outlook

   By Pietro Lombardi

Bayer AG's (BAYN.XE) said its second-quarter after-tax profit fell sharply and backed its outlook for the year, but warned that this is becoming "increasingly ambitious."

Profit for the quarter was 404 million euros ($449.7 million) compared with EUR794 million a year earlier, the German chemical and pharmaceutical company said Tuesday.

Sales rose 21% to EUR11.49 billion.

The company reported a 25% increase in adjusted earnings before interest, taxes, depreciation and amortization. Ebitda before special items was EUR2.93 billion compared with EUR2.35 billion in the same period last year.

Analysts had expected Bayer to post an Ebitda before special items of EUR2.98 billion on sales of EUR11.57 billion, according to a consensus forecast provided by the company.

The company backed its 2019 outlook. "However, this outlook is becoming increasingly ambitious in view of the challenging environment for the crop science business," it said.

As of July 11, the German company faces lawsuits from around 18,400 plaintiffs in cases relating to Monsanto's Roundup weedkillers, up from around 13,400 in April.

Earlier this month, a judge in California reduced a third trial verdict on its Roundup weedkiller to $86.7 million from more than $2 billion.

Write to Pietro Lombardi at pietro.lombardi@dowjones.com

(END) Dow Jones Newswires

July 30, 2019 02:07 ET (06:07 GMT)

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