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After a successful fiscal year 2016, materials manufacturer Covestro continued to perform well in the first quarter of 2017 and adjusted its forecast upward for the full year.

Thanks to still-strong demand for innovative polymers, the Group's core volumes increased by 9.0%. Further growth in production capacity utilization and the associated improvement in margins enabled the company to again boost EBITDA.

At EUR 846 million, EBITDA was up 66.5% on the prior-year period. Net income rose by 157.1% to EUR 468 million. In the first quarter of the previous year, this figure had totaled EUR 182 million.

"The high demand for our products indicates that innovative plastics play an important role in mastering the challenges posed by global megatrends such as urbanization, climate change, or the evolution of mobility. The proof is our strong volume growth and resulting improved earnings in all segments," says Covestro CEO Patrick Thomas.

"We continue our positive momentum and deliver an EBITDA improvement year-on-year for the ninth consecutive quarter. For the remainder of this year we remain optimistic and thus have raised our forecast."

Based on the first quarter's positive business performance, the company has adjusted the forecast given in the 2016 Annual Report for the full year 2017. Covestro still expects core volume growth in the low-to-mid-single-digit percentage range.

The company now anticipates free operating cash flow significantly above the average of the last three years (previously: slightly above the average of the last three years). Furthermore, Covestro now expects return on capital employed (ROCE) to significantly exceed the 2016 level (previously: slightly above the 2016 level).

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