Thanks a lot, and a very warm welcome to our Q2 earnings conference call, and thanks to everybody for joining us this morning. And especially warm welcome goes again to our new CFO, Michael Rauch, who is sitting here next to me.

Michael, I'm really glad that you had a good start with us in the last month and that you are taking an active role for the first time on this call today. As usual, I will start with select strategic highlights.

Michael then will comment on our strong Q2 results before I will take over again to discuss our upgraded outlook. As you know, from our pre-release, we recorded a second quarter above expectations.

Actually, this was the best quarterly result in 4 years. But we are not resting on this short-term success.

We know that structural challenges remain for the sector and for Evonik. What is in our hands, we are actively addressing with determination, and we can show really good progress in the first 6 months of this year.

To demonstrate that we deliver on our promises, let me show you a slide that we already presented in February. I can only reiterate, we have more potential, even more potential than others.

And we are going to realize this potential. On cost reduction, we have extended and expanded our Evonik Tailor-made program.

More on that in a second. On portfolio optimization, we have fully carved out Oxeno and SYNECT and are highly focused on executing these divestments.

On growth, we have reorganized our innovation organization and added new investments to enable new business long term. And on cash, we have changed our dividend policy and stay highly disciplined when it comes to CapEx.

Many of these are difficult decisions, especially when it comes to employee reduction targets. We're executing these in a socially responsible manner, but everybody has to contribute.

I'm convinced that these efforts will pay off in the end. They will significantly strengthen our financial KPIs in the years to come.

Maybe a few more words on the extension of Evonik Tailor made. Until the end of 2026, Evonik Tailor made and our business optimization programs would have led to an employee reduction of around 2,800.

You can see it in our numbers. Last year, we reported a reduction of more than 850 employees.

Since the beginning of this year, we already count another 700 employees less. For the first time in Evonik history, our workforce is effectively shrinking.

And ladies and gentlemen, we'll continue on this path. We'll rightsize our organization by another 3,200 people between 2027 and 2029.

The extended Evonik tailor-made takes a holistic view, capturing now both administrative functions on the one side and operating businesses on the other. These reduction targets have already been negotiated with workers' representatives.

We are right now working on the details of the program and aim to have finalized our plans in the course of the second half of this year. Let me stress again with more potential coming from an already solid starting position.

Now it is all about execution. And that is, I guess, the perfect transition to you, Michael.

Thank you, Christian. Welcome to all of you.

It's great to be here. I'm looking forward to a fruitful dialogue over the years to come.

As Christian rightfully said, it's all about execution. That is an important part of my CFO agenda, get our homework done, especially when it comes to portfolio and strict cost management.

I will have a strong focus on cash generation and return on capital improvement while aiming to realize the significant potential of artificial intelligence across Evonik. Moving on to the numbers.

Our adjusted EBITDA rose 24% year-over-year to EUR 630 million in the second quarter. This was clearly above the expectations communicated during the Q1 call in early May.

This increase was driven by both higher volumes and higher prices, contributing 7 percentage each. Especially Advanced Technologies recorded a strong quarter.

You are, of course, all well aware of the favorable market situation in methionine, but this was not the sole driver of earnings growth. Also crosslinkers and our polymers did really well.

Last but not least, C4 delivered improved results as expected and cost savings also made a good contribution. As usual, in such an environment, inventory revaluation effects support earnings, higher bonus provisions had an adverse effect.

We are well advised to utilize this better-than-expected development to continue with our structural improvements on group level and also in the segments. For example, in Advanced Technologies, we've completed the backwards integration of our methionine production in the U.S.

With that, we improved our cost leadership in the U.S. and strengthen our position as the only player with integrated production facilities in all 3 major regions.

We also continue to optimize our production footprint in silicas and our cost position in H1. Our cash generation improved significantly year-over-year in second quarter.

Our strong operating results converted nicely into cash. We have our net working capital under control and saw less outflow compared to last year despite inflation.

Lower bonus payments, advanced customer payments and higher noncash provisions additionally supported our free cash flow. All in all, our good first half year cash flow performance underpins our full year guidance to again achieve around 40% cash conversion.

Thanks to this cash generation and the lower dividend payment, the seasonal increase in our net financial debt is less pronounced than in the last years. And with that, back to Christian for the outlook.

Thanks a lot, Michael. We already communicated our upgraded outlook to you a few weeks ago.

We've raised the midpoint of our range by EUR 250 million. These are, let me say, good prospects for this year.

And while this is supported by tailwinds from global supply chain disruptions, we could not have monetized on this opportunity without our strong business setup in all 3 regions of the world. These earnings show our potential, our potential when we have a more level playing field with China.

So ladies and gentlemen, how do we see the second half of this year? With EUR 1.1 billion of adjusted EBITDA in the books in the first half of this year, we need another EUR 1 billion in the second half to reach the midpoint of the upgraded outlook.

In the third quarter overall, we do not see a slowdown from our current performance. Let's keep it like this.

My gut feeling tells me Q3 earnings could be similar to Q2 earnings with maybe even a slightly more upside than downside. This obviously implies a fairly steep normalization in the fourth quarter, which you could interpret as caution given the high uncertainty of our current environment.

Visibility in many businesses is still subdued. Across most parts of the portfolio, we expect to see regular slight summer dip in August, which makes predictions even harder.

Overall, it is fair to assume some normalization in selected business, which had a strong run recently, such as, for example, Oxeno or Crosslinkers. But demand for sure is not falling off a cliff.

Advanced Technologies will stay the earnings driver for now, especially since methionine momentum continues into the third quarter. Custom Solutions will continue to show its more defensive earnings profile.

With a higher EBITDA outlook, we reiterate our cash flow guidance. This implies higher absolute cash generation.

And you know, we do deliver cash in all weathers. The drivers of our cash conversion target remain relatively stable, but we now factor in a certain temporary headwind in net working capital from cost and price inflation.

Given our year-on-year much better cash performance in the first half of this year, we have more flexibility with regards to net working capital in the second half compared to previous years. Having said this, thanks so far for your attention, and now we are happy to take your questions.

Just 2, please. The first one is on methionine.

In Q2, apparently, the volume was stable, but you've seen gains from pricing. So I was just wondering what is the outlook for methionine in Q3?

Because the pricing is apparently has stayed up and you are expecting more volumes as your plants come out of the maintenance. So -- and after Q3, how should we think about the unwinding of this strong performances driven by price increases?

Do you expect the prices to normalize by the end of the year or possibly in 2027? So any color on that will be very helpful.

And the second question is on your guidance for Custom Solutions. Previously, you were expecting slightly above, but now you're expecting EBITDA to be stable in FY '26.

And you've spoken about normalization in additives demand towards the end of Q2. So maybe you could sort of elaborate on that and help us understand why you're seeing a drop in additives, but not in Advanced Technologies, please?

Thank you, Anil, for the two questions. The first one on methionine that goes to Christian and the second one on the Custom Solutions outlook to Michael, please.

It's good to get your first question because it can't be somewhat like a solid quarterly call without questions about methionine. So I'm really glad about.

Let's keep it like this. We do definitely believe that the strength of our methionine business will extend, so will continue into the third quarter.

Why is it? First, the third quarter will be the first quarter where our positive price effects will now come through.

That is definitely helpful. In respect to volumes, let's keep it like this, a good amount of the volumes are already booked.

So my message that the continuation of the strength and the good development of our methionine business into the third quarter is well underpinned. Maybe -- yes, you know I'm a conservative.

But here, I have to tell you that our expectation is that all in all, we do expect the third quarter to be the best quarter for methionine in this year may be. And now you have talked about the outlook.

Yes, let's keep it like this. This year, that is what you can bank on.

methionine will do much better than most of you have expected. Why is it?

Why is it? First, we are the only player in the market having a well-balanced geostrategical portfolio architecture in respect of methionine, having the world-scale capacity in the United States, having a world-scale capacity in Europe and an additional one in Asia.

That is definitely paying off because, as you know, here, the import taxes from methionine into the United States of America are really helpful. And reading the signs on the wall, I guess, in Europe, something similar is ongoing.

In respect of the current market situation or maybe the outlook for the market situation, I do believe that we will see in 2027, somewhat like a shakeout. Shakeout means that tiny and maybe weaker competitors will at least Moscow, even shut down their capacities.

And that is my guess about 2027 in summer 2026. Having said this, I dare to hand over to Mike.

Yes. Thank you, Christian and Anil, I want to address your second question regarding Custom Solutions.

You had a question regarding the outlook change here. So maybe as the CFO, let me first argue a bit on the numbers.

You might remember that in the first quarter, the EBITDA for Custom Solutions was about EUR 30 million down year-over-year. Now second quarter, EUR 20 million up year-over-year.

So if you basically take a stronger third quarter versus the fourth quarter, you are about an even par level. Now when we talk about the businesses and you addressed the additives, we do see here a normalization on the additives to pre-war levels in the second half year, so which means staying rather stable for the full year.

Well, if the business stays stronger for longer, then we have a little bit of an upside, but this is how we see on additives. On catalysts, the alkoxide recovery in the U.S.

is materializing. However, less catalysts for refineries are changed due to the war.

So that's pretty much overall and stable picture. And also Care should be stable for the year.

So Care Solutions are suffering from deterioration of market environment in base ingredients, and we're not expecting any macro impulses anymore, so although urgently needed. On the active ingredients, they're doing well and biosurfactants plant is ramping up and new applications are being identified.

And health care, we see positive effects from optimization program becoming increasingly more visible. So this gives you a bit more color on the Custom Solutions segment.

I have, in fact, three, if I may. The first question is for Christian Kullmann.

You have been rather vocal in Veris Media regarding the intended changes by the EU Commission for the emission trading scheme within the European Union. What is your view regarding the upcoming changes which are planned?

Secondly, this is certainly for Michael Rauch. Regarding the new cost-cutting program with another 3,200 FTEs being reduced between 2027 and 2029.

What is your best guess regarding the split between admin people and operating workforce? And as a follow-up, are the EUR 207 million onetime in Q2 related to that program?

I guess, for example, the closure of the polyester business is related to that? And which amount of restructuring costs should we expect in the second half and also in the year 2027?

And the final question, doesn't matter who's answering that, it's about the current drought situation in Germany. The water level of the Rhine River is rather low.

Does this affect Evonik's logistic costs and logistic handling in any case?

Well, thank you, Martin, for making my job easier by just saying you should answer here. So Christian will, of course, start with ETS.

Michael, then going on the tailor-made savings and so on. And then back to Christian for the Rhine water levels.

Martin, good to have you. And let's start with the emission trading system.

Some bits and pieces about first. I do think that the European Commission has got that change is need to better the competitive position of European industry overall.

Having said this, the proposals they have now brought to the table are, for sure, a step into the right direction because they will ease. They will definitely ease and mitigate the pressure we do suffer as of today from.

So it is a chance to enhance the competitive positions of European chemicals industry. And now it is, I guess that will start after summer vacation that the European Commission will have to earn some negotiations with the European Parliament and on the other side, with the representatives of the 24/7 member states of the European Union to discuss it more in detail.

And please, you can believe in my words, you can bank on my words that we Evonik will also intervene to maybe to put these kind of proposals, which are now on the table, and they are a good step into the right direction to bring it a little bit more on to our budget side. That is what I can give you as of today.

So helpful, yes, first step, right? Now it is about negotiations with the European Parliament on the one side and representatives of the 27 member states of the European Union.

We, as one of the stakeholders will participate and then let's see what will come out of it. Having said this, I do hand over to Michael.

Thank you, Christian. And Martin, I'm happy to take your second question, which was on the extended restructuring program, which we have announced.

So let me just reiterate what we have been saying also earlier. So we released the information that we are going to release about 3,200 positions until end of 2029 from our company, which is something which we announced.

And we also said that we are in the negotiation now on the details. So please bear with me that I can comment not on all of the effects of that program yet.

This is going to come in the third quarter. However, you asked broadly what is the split between admin and business functions.

So let me go back to the first program Evonik Tailor made. Here, it was about 80% admin function and about 20% more business-related functions.

This time, this is a more holistic approach also affecting our businesses. So we would go more into the direction of about 60 admin and about 40 business details to come out, as I said, in the third quarter.

You also asked a question regarding -- part of your second question regarding the restructuring, which we booked in the second quarter into our books. That was an adjustment for the site closure for Witten, that is within EUR 50 million within our books.

And this is independent from the program which we announced and which we're going to talk more about when we come to the Q3 call. With that, I would hand back to Christian, please.

Yes. And I'll try to give you some more color about the impact of the lower Rhine water.

It goes without saying that as of today, the level is on a very, let me say, historical low. But on the other side, we are well prepared because that is what is coming around the corner since [indiscernible] days.

So in other words, since 10 years. And you would be really surprised if we would give you that we are not here pretty well prepared for this because that is what we have to deal with since, as mentioned, 10 years' time.

What does it mean? Yes, okay.

There will be a tiny impact because as a result of the lower Rhine water, we would have maybe some increase in respect of the freight costs. But on the other side, overall, it is manageable, so manageable.

And if so, a tiny impact and we are prepared to manage it because we are familiar with the situation since decade. So far from my side.

Three from me, please. The first one is a quick follow-up on methionine.

So there was an announced yesterday in France related to the Ran River levels, River. Would you also expect that to be a minimal impact?

Or do you think that river is more affected and that could actually impact methionine prices? I'm going to count this as the same question, but a small follow-up on methionine again.

So you mentioned the shakeout in 2027. Does that imply that you think prices fall a lot next year?

Or is it just that you have smaller players currently not operating, so not making a windfall to support them into next year? Secondly, you mentioned -- well, actually, I'll start with the -- there's a higher antidumping duty being imposed on Chinese tires now 45% in the start of July.

Could you comment on whether you expect that to impact your silica business at all? And then finally, you previously said there'd be no buyback before 2027.

but cash in the first half has been very good, particularly considering seasonality. Is there any chance that you bring a buyback forward or that a buyback moves up your order of capital allocation priorities before 2027?

Thank you, David. The first one on methionine will be addressed by Christian, and then we go to Michael for the antidumping on tires and the share buyback.

And by the way, Christoph, I'm really keen on checking and taking each and any question about methionine. So here's my answer.

Yes, yesterday, we have read in the news that Adisseo has issued the force majeure because of logistical constraints in France and in Spain, but that is nothing which is touching us. There's no impact for Evonik in respect of this.

And because here, as you know, our main -- our exclusively only European methionine plant is located in Antwerp. And therefore, we are not touched by this lower Rhine water issue now Adisseo has to face.

That is what I could give you around methionine. And having said so, I hand over to Michael.

Yes. So David, thank you.

Your question was on the antidumping Chinese tires. So far, we don't have any impact seen on the precipitated silica, and we are not aware of.

We will update, of course, as soon as we become aware. Your third question was on what do we do with the cash.

So let's be very clear. We still have quite a sizable amount of net debt on our books sitting.

So we will make sure that we utilize the cash as we always do in order, first, to fuel our organic business; second, to make sure that we also pay a reasonable dividend. You saw the change in the dividend policy for 2026.

So it goes into effect first time in May 2027 with the new policy as we had an interim one with the EUR 1 for 2026. And that means basically the share buyback is currently not on the agenda.

Understood. And sorry, Christian, it's my fault was trying to squeeze 2 questions under one heading of methionine.

But the second part of the methionine question, the shakeout in 2027 you mentioned, does that imply an expectation that prices fall into next year?

We are now summer 2026, and I hope that I will be able to enjoy my summer vacation in a couple of days. And in the meanwhile, I will start to think about what could be prudent how to manage our attractive located methionine capacities in 2027.

But as I've already mentioned, we do expect the start of a shakeout, and that would mean that it, for sure, could have once again and to underpin, could have an impact on the markets in the next year. So let's see.

And I'm confident that if we would meet next time in person, we will have a deep dive about this. But that is what I could give you as of today.

I had 2 questions. First one was just on Tailor made and the impact had on the earnings.

I was just calculating your SG&A delta in H1 versus last year. It seems it's about EUR 40 million lower year-on-year.

I think most of that can be attributable to the FX, just stronger euro. I remember from Capital Markets Day a couple of years back, you guys were guiding to as much as EUR 150 million of net savings by this year on an annual basis.

And I'm afraid to say that we don't see any evidence of that in numbers. I think that was the same issue last year as well.

So with these additional job cuts that you've announced, can you maybe help us understand how much net savings should we have in mind that Evonik can really achieve? Because for now, it seems it's very hard to see much of net savings come through in your P&L.

The second question is, and not surprising, a number of questions on methionine because there's the impression that everybody has that the Evonik numbers this year have basically just benefited from methionine prices. It's like one trick pony.

And hence, there's so much focus on methionine. There's a moment it sort of turns, this is -- this party for Evonik is over.

How would you respond to that comment that Evonik's earnings are basically one trick pony this year on methionine prices?

Thank you, Chetan. Michael will start on the net savings, and then we can go to Christian for the balance of the earnings this year.

Yes. Thank you, Chetan, for your question.

You were asking regarding the Evonik Tailor made program. That, just to remind everybody, was in the baking during the year 2023 and then announced for '24 to '26.

Now we all know the world has changed dramatically over those years. So just when you think about inflation, how inflation has surged, right, through that period.

So many of the assumptions that were done no longer held true, which means the net impact basically on the savings is not as pronounced as it was anticipated. So when you ask me how shall we think about going forward also about cost-cutting programs, it is a hygiene factor, which any CFO is banging drum very strongly on to make sure that we get it in.

The additional savings, however, must also come from structural improvements in the business and in the way we operate. Christian?

Thanks for that, Mike. Maybe one more Chetan, about Evonik Tailor Made.

Last year, we have demonstrated that Evonik Tailor made has a positive impact and is paying off because we have been able as one of the very few chemicals industry to compensate the fixed cost increase of 7% close to the completion. That was fair to say last year, a good contribution of Evonik Tailor Made to our -- to bettering our cost positions.

And now happy to have you talking about methionine. Maybe as a tiny starter, you have called Evonik a one trick pony, and nothing against one trck ponies because that would make me -- if it is methionine, giving me the chance and bringing me into the position to give you a good amount of explanations why that is much more than a one trick pony.

But please, in this respect, don't underestimate and don't forget the positive impact we do see in our Advanced Technology segment coming from PA12, coming from crosslinkers, coming from additional savings. And of course, it is on the list of our disposal candidates, but nevertheless, it is worthwhile to mention that also Oxeno has contributed to the good numbers and figures we are able to present for the second quarter as of today.

And now it is about methionine. If we would have exclusively methionine capacity maybe in Asia, you would be right.

But we do have not only one methionine capacity in Asia. We are the only one being globally located and having here because of this the chance to cover each and every region directly, the customers directly in the respective regions.

And by the way, these regions are here all the more United States of America, well protected by import taxes. Second, we do extend and expand our positions by, for example, think about the backward integration of the Matua plant capacity in the United States of America in our methionine capacity in mobile, which will definitely better our position in 2027, which means here, we could harvest even more than it is already as of today.

Third, we are not only the market leader, but also in respect of costs. And I've mentioned it several times during this pretty attractive call that we do see and hence does this foresee a shakeout starting in 2027, which will help us, let me say, to benefit in a similar way from our methionine businesses.

So that is what do I have in mind about the one trick pony criticism of U.S. And by the way, I've liked your questions very much because they have given me a chance to comment on it in a more, let me say, decent and disciplined way.

And just to clarify, this is not what I meant to say. I'm just saying this is the impression, but appreciate the color.

I would have two, please. They're both on the other segment.

The first is on the performance of the Oxeno assets and the related impairment. From what I can tell, the business environment was very favorable in Q2.

The C4 and methionine prices were quite high. European energy costs, which I imagine were hedged were not that bad.

What has happened internally to these assets that has warranted the impairment? And the reason that I ask this is that historically, a decent year seemed to be EUR 200 million plus of EBITDA for the C4 assets.

And now that seems to be the absolute best possible run rate that they can achieve. Has anything happened to global C4 or MTBE markets that would mean that relative to, let's say, 4 or 5 years ago, these assets are simply less profitable?

And my second question is on infrastructure.

Thank you, Sebastian. Both go to Michael at this stage.

So first, on the other with -- even though you probably mentioned -- I mean, you mentioned Oxeno, which is also infrastructure, not in other. And then on the SYNECT assets.

Yes. Let me -- thank you, Christoph.

Let me start with the SYNECT one because that's an easy one. That is year-over-year stable.

So the answer is no. So we are basically sailing through at a similar level as before.

On the Oxeno one, well, it's important that we all recognize that the long-term challenges remain. So yes, we have temporarily better results in 2026.

We enjoy those. However, as you know, when you need to take a goodwill impairment, that is looking into the long-term perspective.

And here, nothing has changed. So we are right now executing our path on making sure that we go ahead with our divestitures as planned.

So that is the situation on Oxeno and SYNECT.

Just to check, is there any book value left?

Yes, indeed, there is about EUR 50 million left as book value for Oxeno.

I think we're good. Thank you very much.

Okay. Ladies and gentlemen, that ends our call today.

We have been really appreciated having met you and providing you with the numbers and figures and some details you have been interested in. We wish you a happy summer, a good summer vacation and hope to see you soon on the road.

Having said this, take care, and bye-bye.