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Evonik (Baa2/BBB+): 4Q Results

BASIC INDUSTRIES
  • Neutral for spreads. Leverage higher as expected after headwinds last year. Outlook is ok and doesn’t rely on demand recovery forecasts.
  • Revenue missed consensus by 1%, adj. EBITDA in line.
  • FY FCF came in 23% better than expected, helped by working capital. Leverage at 2x vs 1.3x at FY22; little changed QoQ.
  • FY24 outlook for revenue in line, EBITDA marginally lower vs expectations. Offset by lower capex forecast.
  • Call 14.00 CET https://www.webcast-eqs.com/login/evonik-2023-q4

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