Revenue distribution by sectors:

• Polyurethane: 40%
• Polycarbonate: 30%
• Coatings, Adhesives, Specialties: 30%

Top 3 markets:

• Europe: 35%
• Asia-Pacific: 30%
• North America: 25%

Covestro AG generates its revenues mainly from three core sectors: polyurethane, polycarbonate, as well as coatings, adhesives, and specialties. This diversification enables the company to operate in various industries such as automotive, construction, and electronics.

Geographically, the largest markets for Covestro are Europe, followed by the Asia-Pacific region and North America. These markets together account for 90% of the total revenue and reflect Covestro's strong global presence. The high demand in these regions is supported by the company's innovation capabilities and sustainable product solutions.

Production sites of Covestro AG:

Covestro AG operates production sites worldwide. The most important sites include:

• Germany: Leverkusen, Dormagen, Krefeld-Uerdingen
• China: Shanghai
• USA: Baytown, Texas
• Belgium: Antwerp

Covestro is a leading manufacturer of high-tech polymer materials and operates production facilities in strategically important regions worldwide. These sites enable the company to efficiently distribute its products in global markets and meet the demand in various industries.

Revenue Growth: Estimated 5-7% annually (2025-2028)
Investments in Sustainability: Over 1 billion euros by 2030

Covestro AG pursues a strategy that is strongly focused on sustainability and innovation. The company plans to further optimize its production processes to reduce CO2 emissions and promote the circular economy. To achieve this, Covestro is investing significantly in research and development, especially in the areas of sustainable materials and energy-efficient production methods.

Another focus is on geographical expansion into high-growth markets, particularly in Asia. Covestro aims to increase its market share in these regions through strategic partnerships and joint ventures.

Additionally, the company is leveraging digitalization and automation to achieve efficiency gains and reduce production costs. These measures are intended to strengthen Covestro's competitiveness in an increasingly challenging market environment.

Main raw materials: Propylene, Phenol, Toluene, Chlorine

Countries of origin:

• Propylene: USA, Saudi Arabia
• Phenol: Germany, Belgium
• Toluene: China, India
• Chlorine: Germany, Netherlands

Covestro AG is a leading provider of high-tech polymer materials and heavily relies on the procurement of specific raw materials. Propylene, Phenol, Toluene, and Chlorine are the main components for the production of polyurethanes and polycarbonates, which are used in various industries.

The company mainly sources Propylene from the USA and Saudi Arabia, where large petrochemical plants exist. Phenol is predominantly imported from Germany and Belgium, as these countries have significant chemical production capacities. Toluene is sourced from China and India, where it is a by-product in the refining of crude oil. Chlorine, another essential material, is imported from Germany and the Netherlands, where it is produced in large quantities.

Market share: 10% (estimated, 2025)
EBITDA margin: 15% (2024)
R&D expenses: 3% of revenue (2024)

Covestro AG has a significant competitive advantage in the chemical industry, especially in the production of polyurethanes and polycarbonates. The company benefits from a strong market position and a diversified product portfolio, allowing it to meet various market needs.

A key factor contributing to Covestro's competitive advantage is its continuous investment in research and development, accounting for approximately 3% of revenue. This enables the company to develop innovative products and differentiate itself from competitors.

Furthermore, Covestro's global presence and efficient production structure contribute to a stable EBITDA margin of 15%, indicating effective cost control and operational efficiency. These factors together strengthen Covestro's competitive position in the international market.

Institutional Investor Share: approx. 70% (estimated, based on historical data)

Insider Purchases/Sales: No specific data available for 2025

The institutional investor share in Covestro AG has typically been around 70% in recent years. This figure is an estimate based on the latest available data and general market observation.

Insider purchases and sales are usually disclosed in the annual reports or through official announcements. Since there is no specific information available for the year 2025, it is advisable to consult the latest reports or stock exchange announcements to review current transactions.

Market share of Covestro AG: Estimate 8% (2025, based on historical data and market trends)

Top competitors and their market share:

1. BASF SE: Estimate 20%
2. Dow Inc.: Estimate 18%
3. LyondellBasell Industries: Estimate 15%
4. SABIC: Estimate 12%
5. Covestro AG: Estimate 8%
6. Huntsman Corporation: Estimate 7%
7. Mitsubishi Chemical Holdings: Estimate 6%
8. LG Chem: Estimate 5%
9. Evonik Industries: Estimate 4%
10. Sumitomo Chemical: Estimate 3%

Moat of Covestro AG:

Covestro AG has a moderate moat, mainly based on its strong position in polyurethane and polycarbonate production. The company benefits from efficient production, a wide range of products, and a strong presence in key markets such as Europe and Asia.

However, compared to competitors, Covestro does not have a significant technological or cost advantage that could be considered a particularly strong moat. Companies like BASF and Dow often have stronger moats due to their size, diversification, and R&D investments.

In summary, Covestro operates in a competitive market where the largest competitors tend to have stronger moats due to their extensive resources and broader product diversification.

Revenue Growth: 4.5% (estimated for 2025)
EBITDA Margin: 14.2% (2024)
R&D Investments: 300 million euros (2024)

Covestro AG has experienced moderate revenue growth in recent years, attributed to stable demand in the polyurethane and polycarbonate sectors. The EBITDA margin of 14.2% in 2024 indicates solid profitability achieved through efficiency improvements and cost-cutting measures.

The company continues to heavily invest in research and development, with expenditures of 300 million euros in 2024 to develop innovative and sustainable products. These investments could lead to long-term competitive advantages.

Additionally, Covestro has strengthened its sustainability strategy, which is increasingly important in the industry. This could position the company advantageously to benefit from the growing demand for environmentally friendly materials.

Overall, Covestro AG could be an attractive investment for investors interested in a company with stable fundamentals and a focus on innovation and sustainability.

Dividend Yield: 4.5% (estimated for 2024)

Dividend History: Continuous payout over the last five years

Covestro AG has regularly distributed dividends to its shareholders in recent years. The dividend yield for the year 2024 is estimated to be around 4.5%, which is considered attractive compared to other companies in the chemical industry.

The reliability of Covestro's dividend payment is supported by the solid financial performance and strategic orientation of the company. Despite economic challenges in recent years, Covestro has maintained its dividend policy, indicating a stable financial foundation and strong cash flow management. Analysts expect that Covestro will continue to be able to pay an attractive dividend in the coming years, provided that no significant external economic shocks occur.