The chemical company BASF (ETR:BAS) is holding its Annual General Meeting today from 10:00 a.m. – of course in a purely virtual form. CEO Martin Brudermüller is also expected to assess the current situation. The corona crisis had brought the world’s largest chemical company a sharp drop in profits in the first quarter of the year.
The company therefore also cashed in on the outlook for 2020. Since the duration and further spread of the pandemic cannot be reliably estimated, it is currently not possible to make any concrete statements regarding the development of sales and earnings.
For 2019, the BASF Executive Board wants to propose a dividend of EUR 3.30 per share to its shareholders. This would raise the dividend for the tenth time in a row. But since the 2020 profit collapse significantly due to the corona pandemic. In order to keep the proud dividend series, BASF would probably have to pay part of the distribution for 2020 from the reserves.
There will certainly be one or two questions in this regard. Deka Investment even questioned the entire corporate strategy of CEO Martin Brudermüller.