Lanxess Ag · XETR:LXS
Lanxess — Lanxess Ag Ord — Q3 2025 Earnings Presentation
30 slides from Lanxess's earnings presentation, Nov 6, 2025
Slide 1: LANXESS – Q3 2025 results
LANXESS – Q3 2025 results Self-help measures support another tough quarter Matthias Zachert, CEO Oliver Stratmann, CFO INTERNAL
Slide 2: Safe harbor statement
Safe harbor statement The information included in this presentation is being provided for informational purposes only and does not constitute an offer to sell, or a solicitation of an offer to purchase, securities of LANXESS AG. No public market exists for the securities of LANXESS AG in the United
Slide 3: Agenda
Agenda 1 Review Q3 2025 and outlook 2 Financial and business details Q3 2025 3 Appendix 3
Slide 4: EBITDA pre decline in line with market expectations; cash discipline in tough environment
EBITDA pre decline in line with market expectations; cash discipline in tough environment EBITDA pre (€ m) Working capital (€ m) Portfolio effect 173 125 Lower volumes and 1,500 1,383 1,362 - €21 m portfolio effect Mainly driven by lower Q3 2024 Q3 2025 main driver Q1 2025 Q2 2025 Q3 2025 receivable
Slide 5: FORWARD! savings program on track – additional measures initiated
FORWARD! savings program on track – additional measures initiated ! ▪ Further cost reduction program of ~€100 m in preparation ! ▪ Streamlining of admin functions ongoing Immediate measures: ! ▪ Global hiring freeze until further notice ! ▪ Release of variable compensation provisions supports earnin
Slide 6: Actively adjusting our cost structures in response to current environment
Actively adjusting our cost structures in response to current environment Additional measures in FORWARD! Production efficiencies preparation Personnel Processes Personnel Production Personnel Processes ~€150 m ~€50 m ~€100 m by the end of 2025 by the end of 2027 Details to follow Sustainably reduci
Slide 7: Today, we are still affected by multiple crises but see various levers to benefit mid-term
Today, we are still affected by multiple crises but see various levers to benefit mid-term We expect benefits in several Business Units Tariff stabilization H2/2026 all BUs H2/2026 German stimulus e.g. AII IPG PLA MPP Cases in execution: Several BUs Anti-dumping e.g. Positively decided cases: AII PL
Slide 8: FY 2025 guidance specified – Challenging market environment persists
FY 2025 guidance specified – Challenging market environment persists ▪ Strong macroeconomic uncertainties persist Our view on ▪ Positive effect from German infrastructure stimulus economic program expected to start in the course of 2026 environment ▪ Excess capacities from Asian competitors ▪ FY 202
Slide 9: Agenda
Agenda 1 Review Q3 2025 and outlook 2 Financial and business details Q3 2025 3 Appendix 9
Slide 10: LANXESS Group: Uncertainties continue to weigh on demand; counteracted by self-help measures
LANXESS Group: Uncertainties continue to weigh on demand; counteracted by self-help measures [€ m] Q3/2024 Q3/2025 Δ 9M 2024 9M 2025 Δ Most customer Sales 1,598 1,338 -16% 4,883 4,405 -10% EBITDA pre 173 125 -28% 455 408 -10% industries continue Margin 10.8% 9.3% 9.3% 9.3% to face headwinds Capex 73
Slide 11: Consumer Protection: Stable earnings level
§ Consumer Protection: Stable earnings level [€ m] Q3/2024 Q3/2025 Δ 9M 2024 9M 2025 Δ Active cost Sales 521 453 -13% 1,591 1,455 -9% management to EBITDA pre 71 72 1% 200 232 16% counteract weak Margin 13.6% 15.9% 12.6% 15.9% demand Capex 24 20 -17% 53 47 -11% o Pass-through of lower raw material p
Slide 12: Specialty Additives: Weak demand and currency effects impact earnings
Specialty Additives: Weak demand and currency Price effects impact earnings [€ m] Q3/2024 Q3/2025 Δ 9M 2024 9M 2025 Δ Still no recovery in Sales 550 505 -8% 1,684 1,578 -6% EBITDA pre 61 45 -26% 179 155 -13% construction Margin 11.1% 8.9% 10.6% 9.8% markets visible Capex 25 21 -16% 63 61 -3% o Sligh
Slide 13: Advanced Intermediates: Tough market environment
Advanced Intermediates: Tough market environment [€ m] Q3/2024 Q3/2025 Δ 9M 2024 9M 2025 Δ Low demand Sales 455 377 -17% 1,398 1,299 -7% combined with EBITDA pre 68 26 -62% 163 110 -33% fierce competition Margin 14.9% 6.9% 11.7% 8.5% burden results Capex 21 20 -5% 50 58 16% − Lower prices due to pas
Slide 14: P&L Q3: Decreased earnings mainly due to lower volumes and absence of Urethane Business
P&L Q3: Decreased earnings mainly due to lower volumes and absence of Urethane Business P&L [€ m] Q3/2024 Q3/2025 yoy ▪ Lower sales mainly due to lower Sales 1,598 (100%) 1,338 (100%) -16% volumes and portfolio effect (URE) Cost of sales -1,249 (-78%) -1,084 (-81%) 13% ▪ Cost saving efforts and rele
Slide 15: Challenging environment also reflected in cash flow
Challenging environment also reflected in cash flow Cash flow [€ m] Q3/2024 Q3/2025 ▪ Lower profit before tax due to Profit before tax 2 -68 decreased operating result Depreciation & amortization 139 133 ▪ At equity investment reflects Envalior’s slightly better result Result from investments accoun
Slide 16: Continued strong equity ratio and significant reduction of net financial debt
Continued strong equity ratio and significant reduction of net financial debt ▪ Decrease in total assets due to €500 m bond repayment and FX Balance sheet [€ m] 31.12.2024 30.09.2025 effect Total assets 9,711 8,183 ▪ Decrease in equity mainly related to FX and net income Equity 4,592 3,908 ▪ Equity
Slide 17: Q3 2025: Input costs- & volume-driven lower sales
Q3 2025: Input costs- & volume-driven lower sales Sales [€ m] Sales share [%] EBITDA pre [€ m] -16% Consumer Specialty -28% Protection Additives 173 1,598* LPT 1,338* SGO RCH LAB CP 521 CP 71 125 -13% 453 MPP +1% F&F PLA 72 SA 550 SA 61 -8% 505 Advanced -26% Intermediates 45 AI 455 IPG AI 68 -17% 37
Slide 18: Q3 2025: Volume-driven sales decline in all regions
Q3 2025: Volume-driven sales decline in all regions Q3 2025 sales by region [%] Regional development of sales [€ m] 1,598 Asia/ Americas Pacific Asia/Pacific Operational 327 1,338 development* 20 -17% 270 -7% 33 Americas 544 -18% 446 -6% 18 Germany EMEA (excl. Germany) 467 -19% 378 -17% 28 EMEA (exc
Slide 19: Exceptional items (on EBIT) increased driven by adj. in production network, partially offset by URE disposal
Exceptional items (on EBIT) increased driven by adj. in production network, partially offset by URE disposal [€ m] Q3 2024 Q3 2025 9M 2024 9M 2025 Excep. thereof Excep. thereof Excep. thereof Excep. thereof D&A D&A D&A D&A Strategic realignment and restructuring 2 -1 -2 3 -3 -2 -111 -78 (incl. FORWA
Slide 20: LANXESS maturity profile actively managed and well balanced
LANXESS maturity profile actively managed and well balanced Long-term financing secured Liquidity and maturity profile as per September 2025 [€ m] ▪ Average interest rate of financial ▪Bond Bond Bond Bond 1000 2026 2027 2028 2029 liabilities ~1.0%* €500 m €500 m €600 m €600 m 1.00% 0.00% 1.75% 0.625
Slide 21: Agenda
Agenda 1 Review Q3 2025 and outlook 2 Financial and business details Q3 2025 3 Appendix 21
Slide 22: Housekeeping items 2025
Housekeeping items 2025 FY 2025 Outlook (in € m) Capex ~330 ▪ excluding ~€150 m of intangible amortization Operational depreciation ~370 All other segments (EBITDA pre) ~-130 ▪ previously ~€-150 to -160 m Exceptional expenses ~100 ▪ on EBIT FX sensitivity ~3 ▪ EBITDA pre impact after hedging per cen
Slide 23: 9M 2025: EBITDA pre on lower level due to disposal of Urethane Systems business and lower sales
9M 2025: EBITDA pre on lower level due to disposal of Urethane Systems business and lower sales P&L [€ m] 9M 2024 9M 2025 yoy ▪ Lower sales mainly due to lower Sales 4,883 (100%) 4,405 (100%) -10% prices based on the pass-through of lower raw material prices and Cost of sales -3,890 (-80%) -3,502 (-
Slide 24: 9M 2025: Operating cash flow compares with higher prior-year base
9M 2025: Operating cash flow compares with higher prior-year base Cash flow [€ m] 9M 2024 9M 2025 ▪ Lower profit before tax due to decreased operating result Profit before tax -129 -184 ▪ Higher D&A due to higher Depreciation & amortization 420 485 exceptional write-offs in Q2 Result from investment
Slide 25: Substantial leverage improvement already realized
Substantial leverage improvement already realized Threshold of 2.5x leverage targeted [in €m] Proceeds from URE divestiture 3,814 4.9x Potential future Net financial monetization of debt/ EBITDA pre 4.1x Envalior stake 3.9x 3.7x 2,498 2,381 Investment 2,072 grade threshold 2.5x <2x FY 2022 FY 2023 F
Slide 26: 9M 2025: Results below prior-year level; positive earnings development in Consumer Protection
9M 2025: Results below prior-year level; positive earnings development in Consumer Protection Sales [€ m] Sales share [%] EBITDA pre [€ m] -10% Consumer Specialty -10% Protection Additives 4,883* 455 408 4,405* LPT SGO RCH LAB CP 1,591 -9% CP 200 +16% 1,455 232 MPP F&F PLA SA 179 SA 1,684 -6% 1,578
Slide 27: 9M 2025: Sales decline in all regions, regional sales split relatively unchanged
9M 2025: Sales decline in all regions, regional sales split relatively unchanged 9M 2025 sales by region [%] Regional development of sales [€ m] 4,883 Operational Asia/ 4,405 development* Asia/Pacific 934 Americas Pacific -12% 822 -5% 19 34 Americas 1,667 -9% 1,510 -3% 17 Germany EMEA 1,474 -12% 1,3
Slide 28: Contact details Investor Relations
Contact details Investor Relations Eva Husmann (Frerker) Visit the IR website Head of Investor Relations Mob.: +49 151 7461 2969 E-Mail: eva.husmann@lanxess.com Thomas Kaiser Jens Ussler Catharina Kaiser Sophie Brandt Institutional Investors / Analysts Institutional Investors / Analysts Institutiona
Slide 29: Abbreviations
Abbreviations Consumer Protection Specialty Additives § MPP Material Protection Products PLA Polymer Additives F&F Flavors & Fragrances LAB Lubricant Additives Business SGO Saltigo RCH Rhein Chemie LPT Liquid Purification Technologies Advanced Intermediates AII Advanced Industrial Intermediates IPG
Slide 30: Upcoming events 2025/2026 – Proactive capital market communication
Upcoming events 2025/2026 – Proactive capital market communication Nov Apr Dec Jan 06 Q3 2025 Results 02 Berenberg European Conference 08 ODDO BHF Forum Lyon Surrey 10 Metzler Dialogue Frankfurt 12/13 Commerzbank and ODDO BHF German Investment Seminar New York 11 Morgan Stanley Global Chemicals, Agr