MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI BRIEF: ECB Should Be Close To 2% In Next Quarters -Centeno

MNI: PBOC To Aim To Drive Inflation Higher- Advisors

MNI: China To Issue More Bonds As Stimulus Targets Consumption

MNI BRIEF: China Nov M1 Decline Narrows, M2 Slows

EZ/UK Bond Supply Calendar: 4.125% Jul-29 Gilt Due on Tuesday

MNI: CANADA OCT WHOLESALE SALES +3.3%; EX-AUTOS +0.5%

MNI: US NOV IMPORT PRICES +0.1%

MNI EXCLUSIVE: EU-Mercosur Deal Close, But Likely Short-Lived - Officials

AUSTRALIA: 2025 Election Outcome Looking More Uncertain According To Newspoll

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Bayer (BAYNGR: Baa2 neg /BBB/BBB): 2Q24 Preview

HEALTHCARE
  • BASF saw Agriculture underperform by 8.4% vs expectations. This does not bode well for Bayer where Crop Science is c.49% of overall revenues. This may be mitigated by the 1Q skew on that sector. The market is anticipating 2Q24 Crop Science to be down only -1% on 1Q23... This may be overly optimistic.
  • Pharma - Blockbusters Xarelto and Eylea will continue to lose revenues with drops of -12% and -2% expected vs 1Q23. Nubeqa and Kerendia are expected to have expanded 55-60% but this will still leave Pharma -4% y-o-y
  • Litigation. Bayer had €11.1bn in "other provisions" - current & non-current combined as of 1Q24. RoundUp is normally around 60% of these. It has had recent successes in this field including having a case dismissed in Australia. 113,000/170,000 cases had settled as of 1Q24.On the other hand, PCB (forever chemicals) cases may increase. Note $160m payment in Seattle yesterday.
  • Total Revenue expected €10.9b (-1.4%); Adj EBITDA €2.1b (-16%), Net Debt/EBITDA 3.6x (up 0.3%) On the positive side, total debt will decline due to the dividend cut by around €3bn yoy.
  • Excluding Hybrids - Weighted Average Debt Maturity is 7.1yrs with $1.75bn due in Oct '24 and €1.2bn in Jan '25. Last raised $5.75b in Oct 23 with significant maturities in Dec '23 to pay.
Credit BulletsBulletHomepagemarkets-real-timeCredit
Credit BulletsBulletHomepagemarkets-real-timeCredit

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.