German chemical giant Bayer has allocated a further €1bn (US$1.15bn) to deal with US lawsuits related to weedkillers, Daily Finland reported.
Despite ongoing litigation related to glyphosate-based weedkillers, a strong performance by the group’s agricultural division meant the company had exceeded analysts’ expectations for operating profit, Bayer CEO Bill Anderson said when announcing BASF’s third quarter earnings on 12 November.
The group’s operating profit before special items in the July-September third quarter, increased by 20.8% to €1.5bn (US$1.73bn) on sales of €9.7bn (US$11.2bn), Daily Finland wrote on 12 November.
Anderson also confirmed the group’s 2025 outlook for operating profit, adjusted for special effects.
Although the company’s performance exceeded expectations in the quarter, BASF reported a net loss of just under €1bn (US$1.15bn) compared with the same quarter in 2024.
The company has faced ongoing lawsuits in the USA, many of which were related to the glyphosate-based Roundup weedkiller sold by US agrichemical firm Monsanto, which Bayer bought for more than US$60bn in 2018.
Anderson said Bayer was making “significant progress” with regards to litigation, adding he was confident the company would be able to significantly contain the litigation risk by the end of 2026.
However, he noted there had been an increase in glyphosate case filings after recent settlements were announced, which had added to costs.
As of mid-October, Bayer said it was facing around 65,000 unresolved glyphosate claims, up from a previous figure of about 61,000.
A total of 132,000 claims had so far either been settled or had been classed as not eligible.
In total, Bayer had set aside nearly €7bn (US$8.1bn) for the issue, RTL Today wrote on 12 November.
The higher provisions in the third quarter were due to settlement agreements and a moderate increase in the number of glyphosate lawsuits filed, Anderson said.
As of 15 October, Bayer had 197,000 registered claims, of which around 132,000 had been settled or did not meet settlement criteria, Daily Finland wrote.
Speaking on 12 November, Bayer chief financial officer Wolfgang Nickl said: “The ag market outlook is quite dynamic. We are monitoring acreage development, particularly in the context of geopolitical uncertainty. In corn, we plan to drive growth based on our portfolio refresh and build on continued technology adoption.
“For soya and cotton, we count on the registration for Dicamba for the next season. Overall, we remain … focused and on-track to deliver our five-year framework.”
Nickl said the company was also following US-China trade relations closely.
