Evonik Industries AG, a leading Germany-based specialty chemicals company, reported a 17 per cent decrease in group sales for fiscal 2023 (FY23), closing at €15.3 billion (approximately $16.6 billion). This figure falls within the company's targeted range of €14 billion to €16 billion, aligning with the revised forecast announced during the summer amidst a persistently challenging market environment. The company's adjusted EBITDA for the year stood at €1.66 billion, also within the expected range of €1.6 billion to €1.8 billion.

The smart materials division witnessed a 15 per cent decline in sales to €4.46 billion, attributed to a significant drop in demand coupled with adverse currency fluctuations. Consequently, the division's adjusted EBITDA decreased by 27 per cent to €540 million, with the adjusted EBITDA margin dipping to 12.1 per cent from the prior year's 14.2 per cent, the company said in a press release.

Furthermore, the performance materials division experienced a sharper decline, with sales falling by 22 per cent to €2.55 billion. The division's adjusted EBITDA plummeted by 68 per cent to €111 million, resulting in an adjusted EBITDA margin of 4.4 per cent, a steep decline from 10.8 per cent in FY22.

"The many crises around the world have put a damper on our results," said Christian Kullmann, chairman of the executive board. "Overall, we got away with a black eye. We owe this above all to the great efforts of all our employees. However, the general conditions will not get any easier, which is why we will continue our fundamental revamp of the group."