German chemicals giant BASF raises profit guidance after Iran war price hikes

Published on 28 October 2026 - 8:54 GMT+1

The maker of products ranging from automotive paints to sunscreen ingredients now expects a core profit of €7.4billion to €7.8bn ($8.2bn to $8.7bn) this year, up from a previous forecast of €6.9bn to €7.7bn.

BASF's earnings have been boosted after it hiked prices for some goods in March by up to 30% in response to surging costs for energy and other raw materials because of the US-Israeli war against Iran.

The company said Wednesday that its core profit in the third quarter rose 15% from the same period last year to €1.6bn.

Overall sales were up 14% over the period at €16.4bn.

"The increase was mainly driven by considerably higher prices (plus 12%) and slightly higher volumes (plus 2%)," the company said in a statement.

The results come as the European chemicals industry is under major pressure from high energy prices and increasingly intense competition from Asian rivals.

BASF is undertaking a major restructuring, cutting thousands of jobs at its historic German headquarters in Ludwigshafen, after opening a major chemical complex in China earlier this year to serve Asian markets.

The company is also exploring the multibillion-euro acquisition of its German rival Evonik, saying the combination could let it obtain feedstocks and precursor chemicals at lower cost.