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BASIC INDUSTRIES: Evonik (EVKGR Baa2/BBB+/NR): 2Q24 Prelims

BASIC INDUSTRIES

Positive update from Evonik here but we don’t expect much impact on spreads.

  • Evonik has pre-released 2Q24 adj. EBITDA and upgraded FY guidance.
  • Preliminary adj. EBITDA of €578mn beat consensus by 7%.
  • FY24 adj. EBITDA guidance raised to €1.9-2.2bn, an 11% upgrade at mid-point.
  • Revenues were slightly below consensus at “just above” €3.9bn; €3.96bn. The beat was driven by cost discipline and lower production costs as well as volumes in the high margin speciality additives division.
  • No sign of a broader macroeconomic recovery according to management.

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