Evonik stands for attractive business and innovative strength. Around 80 percent of sales come from market-leading positions, which we are systematically expanding. We work in a results-focused corporate culture that is geared to profitable growth and increasing the value of the company. Our strengths include the balanced spectrum of our business activities, end-markets, and regions as well as close collaboration with our customers. In these efforts, our employees are bound by a claim: No product is so perfect that it couldn't be made better.
Evonik is active in over 100 countries around the world with more than 36,000 employees. We have production facilities in 28 countries on five continents and are therefore close to our markets and our customers. Production is carried out on integrated technology platforms for multiple units at our largest production sites in Marl, Wesseling, Rheinfelden, Antwerp, Mobile, Shanghai, and Singapore.
In 2017, Evonik achieved sales of €14.4 billion and a profit (adjusted EBITDA) of €2.36 billion. Our adjusted EBITDA margin came in at 16.4 percent and our free cash flow at €511 million. At 11.2 percent, ROCE exceeded the cost of capital.
Evonik’s IPO was in April 2013, and its shares have been listed on the MDAX and STOXX Europe 600 stock exchanges since the fall of 2013.
Success on the market thanks to customized solutions and close partnerships with customers
Our specialty chemistry makes an indispensable contribution to the success of our customers’ products on their respective markets. Using our global production and research network, we work with our customers to develop innovative, tailor-made solutions for their applications—a process in which we always work with an eye to our customers’ customers as well.
Our goal is to step up our focus on businesses with clear specialty chemicals characteristics, and that includes achieving an even better balance within our portfolio. At the same time, we not only aim to grow in areas where Evonik is already strong, but also where the prospects are beginning to look very promising. This is why our strategy concentrates on four growth engines: Specialty Additives, Animal Nutrition, Smart Materials, and Health & Care.
Research and development are important drivers of profitable growth, and their foundation rests on our culture of innovation, with its ambitious goals, clear strategy, and inspiring work environment. Our innovation activities are focused on six fields oriented toward the Group’s strategic growth engines: Sustainable Nutrition, Health Care Solutions, Advanced Food Ingredients, Cosmetic Solutions, Membranes, and Additive Manufacturing.
Working within the framework of a management holding company, the Executive Board focuses on Evonik’s strategic development. Our operative businesses are divided into three chemistry production segments, each led by independent companies working as contractors within the company in close proximity to markets and customers. The fourth segment is the Services Segment, which is largely responsible for site services, process engineering, and administrative services.
Evonik Group structure
TThe Nutrition & Care segment manufactures products for applications in animal nutrition, health care, and consumer goods for daily needs. Business development is driven by socioeconomic trends such as the growth of the world’s population and the increasing purchasing power of the middle class in emerging economies.
The Resource Efficiency segment delivers high-performance materials and specialty additives for environmentally friendly, energy-efficient system solutions for customers in the automotive, paints, coatings, plastics, and construction industries, among others. Increasing demand for resource conservation in production drives business development in this segment.
The Performance Materials segment manufactures polymer materials and intermediates, especially for the agricultural, rubber, and plastics industries. Factors that drive growth include increasing globalization, rising mobility, and urbanization, and Performance Materials is responding to these trends with a smart development approach to products, chemical processes, and business processes.
The Services segment provides services at our sites both for our chemistry segments and for external customers, supporting our chemistry business and management holding company with business services that are standardized throughout the entire company.