BASF, one of the world's leading suppliers of active ingredients and solutions for the cosmetics industry, has announced a 50% drop in its net profit in the first half of 2025, reaching 1,314 million euros, compared to 2,615 million registered in the same period of the previous year.
The German group has attributed this decline to weakening global demand, the economic slowdown in key markets such as China and Europe, as well as increased trade tensions and tariffs affecting its supply chain.
In line with this context, BASF has revised its annual forecasts downwards, now estimating sales between 63,000 and 67,000 million euros, compared to the previous range of 68,000 to 71,000 million. Likewise, the adjusted operating profit (Ebit) is expected to be between 3,500 and 4,200 million, a correction compared to the 4,000-5,200 million previously projected.
For the beauty sector, this adjustment could be reflected in greater pressure on costs and delivery times in categories such as functional ingredients, emollients and sensory actives, in which BASF has a strong presence. However, the company has reaffirmed its commitment to the development of sustainable and innovative solutions, especially in segments such as skin care and sun protection.
“The recovery is taking longer than expected. We don't see any clear signs of improvement in the remainder of the year”, acknowledged Martin Brudermüller, CEO of BASF. Despite this, the company continues to strengthen its commitment to applied research and the digitization of its processes, key pillars for its activity in cosmetics and personal care.