News Bayer
Glyphosate cases cost Bayer billions
The various lawsuits surrounding glyphosate and the drug RoundUp have cost the German chemical group Bayer billions, according to new figures for the second quarter of this year. The corona crisis has also had an impact on the company.
Bayer reports a net loss of €2020 billion for the second quarter of 9,5. Last year, the company made a profit of €404 million in the same quarter. The biggest bummer for the company has been the many lawsuits surrounding glyphosate and the drug RoundUp. As a result, the German chemical company has had to write exceptional costs for no less than €12,5 billion in exceptional costs.
Bayer . has now reached a settlement in these lawsuits. The German concern is in fact with an amount of $10 billion over the bridge to the prosecutors in the United States who believe to have developed cancer from the drug. The lawsuits surrounding RoundUp have been a headache for the American Monsanto for years, which was acquired by Bayer 2 years ago.
Corona crisis
Analysts had expected a loss of approximately €7,9 billion in the second quarter of 2020. The fact that the actual result is worse is due to the corona crisis. Bayer's pharmaceutical department has suffered greatly from the virus. This is because non-urgent medical interventions were postponed and patients stayed away from waiting rooms for fear of an infection.
Incidentally, the operating profit (EBITDA) did increase by 5,6% to a total of €2,8 billion. This is mainly due to growth in the agricultural sector in the regions of Latin America, Asia/Pacific and North America. The group's turnover fell by 2,5% to just over €10 billion.
Kimberly Baker
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