BASF Sets New Corporate Strategy and Shareholder Distribution Plans

BASF SE has set a new corporate strategy and financial targets for 2025 to 2028, announcing plans for substantial shareholder distributions. Shareholder distributions, including dividends and share buybacks, will exceed €12 billion, with annual dividends of at least €2.25 per share.

The company's financial goals include an EBITDA of €10 billion to €12 billion by 2028 and a cumulative free cash flow of over €12 billion from 2025 to 2028. BASF's updated strategy includes clarifying portfolio roles and focusing on strengthening core businesses while exploring portfolio options for standalone segments.

The company's strong balance sheet and cash flows will support these actions, with capital expenditures anticipated to drop below depreciation from 2026. The strategy also involves the divestment of BASF’s decorative paints business in Brazil, expecting a cash inflow of around €2 billion from exiting the oil and gas sector.