For German chemical company Bayer, the firm’s transition from farm and pharmacy to a life sciences company is proving to be a rocky road.
Group CEO Werner Baumann said Thursday that declines in consumer health in the United States and excess inventories in the agricultural division in Brazil have caused the company to adjust its full year 2017 sales forecast to €49 billion ($57 billion) from the previous €51 billion. He said that growth would be “mid-single-digit” rather than the mid-to-high-single digit he had predicted earlier.
Bayer shares fell by 4 percent on the news before recovering marginally in the late afternoon. The stock had already declined 4 percent in June when the company warned of a possible lower result.