LANXESS Q3 Profit Falls 28 per cent Amid Weak Global Demand

11 Nov 2025 CW Team

Revenue for Q3 2025 fell 16.3 per cent to EUR 1.34 billion from EUR 1.60 billion in the same period last year, while EBITDA pre exceptionals dropped 27.7 per cent to EUR 125 million, largely due to lower sales volumes and the divestment of the Urethane Systems business unit earlier this year. The EBITDA margin stood at 9.3 per cent, down from 10.8 per cent in Q3 2024.

Focusing on Controllable Levers “The ongoing weakness in global demand continues to impact the entire chemical industry, including us,” said Matthias Zachert, CEO, LANXESS. “The situation is particularly challenging in our core sectors of construction, automotive, and agrochemicals. We will continue to focus all our efforts on what we can influence—reducing costs, streamlining processes, and optimising market positioning.”

Zachert also called for stronger policy support from European governments, warning that “Berlin and Brussels must strengthen our competitiveness more quickly and decisively, or entire value chains are at risk.”

Cost-Reduction Drive and Outlook LANXESS confirmed it will continue implementing its “FORWARD!” action plan, which is expected to deliver EUR 150 million in annual savings by the end of 2025. Additional network optimisations announced in August are projected to save EUR 50 million annually by 2027.

The company also plans a new round of cost-reduction measures worth around EUR 100 million (approx. Rs 900 crore), with details to be announced in early 2026.

For the full year 2025, LANXESS expects EBITDA pre exceptionals to be at the lower end of its EUR 520–580 million guidance range. Despite market challenges, net financial debt remained stable at EUR 2.07 billion at the end of Q3.

Segment Performance

Consumer Protection: Sales fell 13.1 per cent to EUR 453 million, though EBITDA rose slightly to EUR 72 million due to savings from the FORWARD! plan. Margin improved to 15.9 per cent from 13.6 per cent.

Specialty Additives: Sales declined 8.2 per cent to EUR 505 million, while EBITDA fell 26.2 per cent to EUR 45 million, driven by weak demand and lower utilisation.

Advanced Intermediates: Revenue dropped 17.1 per cent to EUR 377 million, and EBITDA declined 61.8 per cent to EUR 26 million due to price pressure from Asia and reduced production capacity.

Despite the tough environment, LANXESS remains focused on cost discipline, operational efficiency, and long-term competitiveness.

Mumbai, November 10, 2025 – Specialty chemicals company LANXESS reported a sharp decline in third-quarter performance as global demand remained subdued amid ongoing geopolitical and economic headwinds. Revenue for Q3 2025 fell 16.3 per cent to EUR 1.34 billion from EUR 1.60 billion in the same period last year, while EBITDA pre exceptionals dropped 27.7 per cent to EUR 125 million, largely due to lower sales volumes and the divestment of the Urethane Systems business unit earlier this year. The EBITDA margin stood at 9.3 per cent, down from 10.8 per cent in Q3 2024. Focusing on Controllable Levers “The ongoing weakness in global demand continues to impact the entire chemical industry, including us,” said Matthias Zachert, CEO, LANXESS. “The situation is particularly challenging in our core sectors of construction, automotive, and agrochemicals. We will continue to focus all our efforts on what we can influence—reducing costs, streamlining processes, and optimising market positioning.” Zachert also called for stronger policy support from European governments, warning that “Berlin and Brussels must strengthen our competitiveness more quickly and decisively, or entire value chains are at risk.” Cost-Reduction Drive and Outlook LANXESS confirmed it will continue implementing its “FORWARD!” action plan, which is expected to deliver EUR 150 million in annual savings by the end of 2025. Additional network optimisations announced in August are projected to save EUR 50 million annually by 2027. The company also plans a new round of cost-reduction measures worth around EUR 100 million (approx. Rs 900 crore), with details to be announced in early 2026. For the full year 2025, LANXESS expects EBITDA pre exceptionals to be at the lower end of its EUR 520–580 million guidance range. Despite market challenges, net financial debt remained stable at EUR 2.07 billion at the end of Q3. Segment Performance Consumer Protection: Sales fell 13.1 per cent to EUR 453 million, though EBITDA rose slightly to EUR 72 million due to savings from the FORWARD! plan. Margin improved to 15.9 per cent from 13.6 per cent. Specialty Additives: Sales declined 8.2 per cent to EUR 505 million, while EBITDA fell 26.2 per cent to EUR 45 million, driven by weak demand and lower utilisation. Advanced Intermediates: Revenue dropped 17.1 per cent to EUR 377 million, and EBITDA declined 61.8 per cent to EUR 26 million due to price pressure from Asia and reduced production capacity. Despite the tough environment, LANXESS remains focused on cost discipline, operational efficiency, and long-term competitiveness.

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