Bayer posts 9.5 bn euros Q2 loss on glyphosate settlement

German chemicals giant Bayer reported Tuesday a second quarter net loss of 9.5 billion euros, reflecting the “exceptional impact” of a US settlement of thousands of claims that its glyphosate weed killer caused cancer.

The heavy loss compared to a profit of 404 million euros ($475 million) in the same three-month period of last year.

In June, Bayer signed an agreement worth between $8.8-9.6 billion to settle some 125,000 claims in the United States over the Roundup weed killer it acquired when it bought American group Monsanto in 2018.

Bayer said its business was also hit by the fallout from the coronavirus pandemic.

In the three months to June, sales slipped 2.5 percent to 10.7 billion euros.

Bayer said it now expected sales for this year to slip to between 43 and 44 billion euros, down from its earlier forecast of between 44 and 45 billion.

Bayer said its pharmaceuticals division suffered as countries put off treatments to focus on the coronavirus.