German Chemical Giant BASF Takes Differentiated Approach To Steering Businesses For More Profitability: Details
Portfolio Pulse from Lekha Gupta
BASF SE (OTC:BASFY) is transforming into a customer-focused organization by adjusting business models to meet specific customer industry needs while maintaining integrated company benefits. The strategy will be applied to Battery Materials, Coatings, and Agricultural Solutions. New KPIs will emphasize EBITDA before special items and cash flows, with targeted margins for various divisions. BASF aims to reduce specific Scope 3.1 emissions by 15% by 2030 and achieve net-zero by 2050. BASFY shares rose 2.01% to $12.16.
December 07, 2023 | 7:05 pm
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BASF SE is reorganizing to be more customer-focused, affecting Battery Materials, Coatings, and Agricultural Solutions. It introduces new profitability KPIs and commits to emission reductions, with shares recently up 2.01%.
The strategic move to a customer-focused approach and the introduction of new KPIs aimed at improving profitability are likely to be viewed positively by investors, as reflected in the recent share price increase. The commitment to emission reduction targets also aligns with growing investor interest in sustainability, potentially attracting ESG-focused investors.
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