K+S Headquarter, Kassel
Equity Story

K+S as an attractive investment

K+S Equity Story

We have emerged stronger from the challenges of recent years and are well positioned for the future

  • 2018: Severe drought led to production restrictions at German potash sites due to disposal bottlenecks for saline water
  • 2019/20: Due to low agricultural prices, farmers had little incentive to fertilize efficiently to increase their harvest, which led to a further decline in fertilizer prices
  • 2020: Partially negative cash flows further increased the already high level of indebtedness due to the construction of the Canadian potash plant. Net financial liabilities/EBITDA increased to over 7x and the rating was downgraded to B (outlook: negative)
    Suspension of the dividend payment for 2020.
  • 2021: Sale of the US salt business achieved a multiple of 12.5x EBITDA despite implementation of the transaction under Covid restrictions and leads to a cash inflow of USD3.2 billion, book gain of €0.7 billion
  • 2021: Rising agricultural prices led to a recovery in demand and an increase in fertilizer prices
  • 2022: Net financial debt can be fully eliminated through operating business development and strategic realignment; rating back in the BBB- investment grade range. Significantly improved waste disposal safety and permit situation. Excellent growth prospects in Canada.