Bayer (BaYGn.DE), a pharmaceuticals and agriculture company in Frankfurt, reported on May 10th that its pesticides and seeds business has checked in at a better quarterly gain than the expected 27.5%.
The EBITDA (earnings before interest, taxes, depreciation, and amortization) for the first quarter (for one-off items) tallied at $5.55 billion or 5.25 billion euros. This figure is quite above the estimated 4.65 billion euros, which was already posted on the website of the company.
Confirmed by the Crop Science division, the adjusted EBIDTA has increased by 50% to 3.67 billion euros. The market consensus for this estimate was 2.95 billion euros. Keep in mind that this division makes most of its earnings in the first six months of the year.
Russian attack on Ukraine has caused the prices of soy and corn to rise worldwide. It is feared that farming will disrupt due to this conflict because both countries export grains in huge quantities.
Werner Baumann, the chief executive of Bayer, has informed the shareholders that a successful start to the year was observed, thanks to the favorable agricultural markets. This was told in the annual general meeting held in April.
The group has also been confirmed to be satisfyingly guided for results throughout the year.