Frankfurt - German chemicals and pharmaceuticals giant Bayer, maker of Aspirin painkiller, said on Wednesday its net profit surged 13 percent in the second quarter but disappointed expectations due to the strength of the euro.
Net profit for the period from April to June jumped to 953 million euros (R13.6 billion), boosted by demand for new drug lines and fertilisers.
Analysts polled by Dow Jones Newswires had expected a slightly better figure of around 992 million euros.
Turnover climbed just 0.9 percent to 10.5 billion euros during the same period.
“The company again had to weather significantly negative currency effects, which however were offset by strong business development,” it said in a statement.
The impact of a strong euro on sales led the company to adjust its full-year outlook downward.
Bayer said that adjusted earnings before interest, taxes, depreciation and amortisation, or Ebitda, were now expected to fall by around 550 million euros compared with the previous forecast of 450 million.
It expects group sales, adjusted for currency and portfolio effects, to rise six percent instead of the previously forecast five percent. - Sapa-AFP