German pharmaceutical giant Bayer reported a decline in its third-quarter 2024 earnings on Tuesday, with net sales falling to €10.0 billion, down from €10.3 billion in the same period last year. The company’s stock price dropped by 12.12% to €21.46 following the release of the disappointing results.

Bayer’s earnings before interest, taxes, depreciation, and amortization (EBITDA) for the third quarter amounted to €1.3 billion, a sharp decline from €1.7 billion in Q3 2023. The EBITDA margin also shrank, from 16.3% to 12.6% year-over-year, signaling ongoing pressure on profitability. Core earnings per share (EPS) fell from €0.38 in Q3 2023 to €0.24 in the same quarter this year.

The company saw mixed results across its divisions. Crop Science sales fell by 2% in the first nine months of the year, while Consumer Health sales rose by 3%. Pharmaceuticals performed better, with a 4% increase in sales. However, Bayer continues to face challenges in its crop protection operations, particularly due to pricing pressures and a weak agricultural market in Latin America. The company also cited ongoing regulatory challenges as a factor impacting its performance.

Looking ahead, Bayer warned that earnings were likely to fall further in 2025, citing persistent challenges in its crop protection business and regulatory hurdles. This forecast has raised concerns among investors, further contributing to the decline in the company’s share price.

Bill Anderson, CEO of Bayer, acknowledged the company’s progress in some areas, particularly in its pharmaceutical division. “We’ve had a good run of positive readouts in Pharma, and great momentum on our launch assets. We see outstanding first results out of the new model,” he said in the company’s Q3 media update. However, he also highlighted areas requiring more attention, including the regulatory challenges and generic pricing pressures facing Bayer’s crop protection business. “Regardless of whether these things are entirely in our control, we need to manage them with resources and decisions that are in our control,” Anderson added.

Due to the challenges in the agricultural market, Bayer lowered its EBITDA forecast for the full year 2024, now projecting a range of €10.4 billion to €10.7 billion, down from the previous range of €10.7 billion to €11.3 billion. Despite this, the company maintained its forecasts for currency-adjusted core earnings per share, currency- and portfolio-adjusted sales growth, and free cash flow.

In a positive development, Bayer recently announced a collaboration with Impli, a deep-tech start-up focused on real-time hormone monitoring for women’s health. This partnership aims to improve fertility treatments such as in vitro fertilization (IVF) by making them safer, more successful, and more accessible.

Aquil Harjivan, head of front-end innovation for Consumer Health at Bayer, expressed excitement about the partnership, noting that new technologies are helping address significant consumer health needs. Impli’s CEO, Anna Luisa Schaffgotsch, emphasized the opportunity to innovate in women’s hormonal health, with Bayer’s expertise offering a platform to drive meaningful change in the field.

A Brazilian businessman with ties to one of the country’s most powerful criminal organizations has been shot dead at São Paulo’s Guarulhos Airport. Antônio Vinicius Gritzbach, who had recently entered into a plea agreement to provide information about the Primeiro Comando da Capital (PCC), was killed in a brazen attack outside the airport terminal.

Gritzbach, a former member of the PCC, had been collaborating with local prosecutors, agreeing to share details about how he helped the gang launder millions of dollars. His cooperation reportedly led to death threats from the PCC, which is notorious for its violent tactics and extensive reach across Brazil and beyond.

The shooting occurred as two men, wearing hooded jackets, exited a car near the airport terminal. Security camera footage captured the moment the assailants opened fire with submachine guns. Gritzbach, who was carrying a bag at the time, dropped it and attempted to flee, but was shot multiple times and died at the scene. Three others were injured in the attack, though their conditions have not been disclosed.

The PCC, one of Brazil’s most feared and influential criminal groups, was founded in the early 1990s and has since become a significant force in international drug trafficking, particularly cocaine. According to reports, the gang has expanded its operations well beyond Latin America, with a notable presence in Europe. A report from Portuguese security services last year indicated that the PCC had up to 1,000 associates in Lisbon alone.

Gritzbach, a cryptocurrency expert, was considered an integral figure in the PCC’s money-laundering activities. Under the terms of his plea bargain with São Paulo prosecutors, he was expected to provide information that would help authorities locate other PCC members and deliver crucial documents. In exchange, Gritzbach was promised a judicial pardon and a reduction in his sentence for his involvement in money laundering.

The PCC is estimated to generate nearly $1 billion annually from international cocaine trafficking, according to São Paulo’s organized crime taskforce. Gritzbach’s killing highlights the dangers faced by individuals attempting to cooperate with authorities in the fight against organized crime, particularly when dealing with a group as powerful and ruthless as the PCC.

Following the attack, police quickly responded by deploying officers to the airport and the surrounding area. Investigations are ongoing, but the murder underscores the continued threat posed by the PCC in Brazil and beyond.