Frankfurt: German chemical and pharmaceutical company Bayer AG said yesterday its net income rose 44 per cent in the fourth quarter to 153 million euros ($208 million, Dh763.35 million) as cost savings and a pickup in some business offset negative currency effects and charges for the integration of Schering.
The company, famous for its Bayer aspirin, had earned 106 million euros in the October-December period of 2008. Fourth quarter revenue for the company was nearly unchanged at 7.9 billion euros.
For the full year 2009, the company said net income fell 21 per cent to 1.4 billion euros from 1.7 billion euros in 2008, while revenue fell 5.3 per cent to 31.2 billion euros from 33 billion euros in 2008.
Bayer said currency effects took a toll of some 140 million euros on full-year earnings, 80 million of which was charged to the fourth quarter.
Schering charge
The company also said the full year results were weighed by some 766 million euros in charges, mainly related to the integration of pharmaceutical company Schering which Bayer bought in 2006. Bayer said it doesn't expect to see special charges during the current year.
"We believe the Bayer group is well positioned strategically and on course for success because of the potential our portfolio offers for innovation and growth," Werner Wenning, the company's chief executive, said in the report.
"We were successful in a difficult environment, and we are optimistic for the future."
The company said it plans to increase revenue by more than 5 per cent in 2010, while earnings before interest, taxes, depreciation and amortisation (Ebitda) are planned to increase toward seven billion euros. In 2009 the company's Ebitda stood at 5.8 billion euros.
