Morning, everybody, and thanks for joining our Wirtel Analyst Conference on the results of the financial year 2020. 2020 was an extraordinary year for all of us. Despite this challenging environment and volatile prices In some of our markets, BABA has achieved major milestones and shown and proven a pretty resilient business model. Today, we will give you a deeper insight into the development of each segment. As usual, Professor Lutz, our CEO, He will guide you through the operational performance and give you an outlook for the upcoming months and also for the midterm goals.
And after that, Mr. Helber, our CFO, will cover the financials. At the end of the presentations, we will be happy to take your questions. Please, until then, unmute your telephones. And now I hand over to Professor Lutz.
Good morning, ladies and gentlemen. Great pleasure to have you with us this morning for the analyst conference For the Annual Report 2020. Before I go through the presentation, I just focus on the key slides and you can ask questions and Andreas is taking care of the figures. And the financials, I would like to answer 2 questions which Reached us in advance of this conference. The first question is or was Claus or Mr.
Lutz, what is your expectation with regard To the economic development in Europe and especially in Germany. It's pretty interesting because the EFO Institute and Professor Fus this morning Gave an interview on Bloomberg with the statement that surprisingly bright future or near future Of the economy and the development of the economical situation, especially in Germany. So I think this is answering the question. So it's more positive than negative Despite this pandemic situation, the COVID-nineteen Virus and all these negative circumstances. So a positive outlook for the European, but Actually the Middle European and German Business Development and Economy Development.
The second question was, Which reached me this morning. Do we expect any problems and hurts coming from the Suez channel issue and the problems for the supply chain. And the answer is We are very grateful that the last vessel passing by the Suez channel could be rescued. So we have this material Under control and we can deload the vessel in Rotterdam. It has to do with our international commodity trading The business handled in Rotterdam in the Netherlands.
And there's one vessel still in the channel. We do not yet know how to I managed that at this point in time and there are also some container vessels under management and chartered By our daughter company, Sefitter and Rotterdam. So this is, at this point in time, unclear what will be the impact. Nevertheless, bottom line, We do not expect a negative hurt on our P and L statement for the Q1 in 'twenty one, and it's Pretty unclear whether the situation can be solved within 3 weeks or 3 days. So the experts are discussing this issue.
So This was the first statement I wanted to make and to answer the questions from your community. And now we go through the Presentation. And of course, as always, I would like to give you some highlights what was the big achievement or the Achievements in 2020. The most important thing is that we have the corona crisis under control within the Bayer Corporation that The positive tested people at this point in time are just 30 people, a little bit more than 350, 360 Over the last 12 months, within a community of roundabout 23,000 employees worldwide, We are not counting the freelancers and the harvest supporters and all the other guys and the stakeholders Around 64, 65000 people roundabout. So with other words, we have the situation under control.
And many of you, especially in Germany, You might know that we are in discussion with the federal government to get a solution internally Out of vaccines we have here in Germany. So this is really a disaster for the international community. We do not understand why The Germans as the former well known organization champions are not From a political and a governmental and administration point of view, we are not able to handle this situation. And insofar, I offer to the federal government That the companies and BioWare itself will go through this vaccination process properly. And now the law has been changed, but unfortunately, we don't have the material we need for the vaccination.
From a business point of view, 'twenty was, of course, under the headline, do we get or the question, do we get the transaction Dan, can we finalize the process where we started already in 2019 with regard to the Equity increase of Baibars RE GBH. Now we made it. The money is on the bank account. And this is one of the Most important achievements over the last 13 years since I'm board here because this is the largest transaction we ever made In BAIOBAR's history, and I always see this €530,000,000 in combination with the €500,000,000 Green bond, which we received from the capital market 2 years or nearly 2 years So we were able on the basis of the value which has been created by the management and on the basis of our strategy, We were able to get around about €1,000,000,000 more than €1,000,000,000 especially for our green renewable energy activity. And I think we can be proud of having such a great achievement.
So From the operational point of view and the figures we turn to the next page, you see that we have a slight increase on the revenue side, a little bit more Then the €70,000,000,000 revenue, so more or less flat. But nevertheless, due to the good operational performance, we were able Cover all the additional costs with regard to the corona crisis and some other negative one timers. We increased the overall profit on EBIT level of around about 14.2%. And due to this Very positive development and more or less all business segments contributed to this great success last year. We are able to increase also the dividend again.
So the very first time where we touch this barrier of 1 Euro, we propose and suggest to the AGM, which will take place on the 11th May, To increase the dividend on the level of €1 So I hope that over the next years, we will Exceed this €1, of course, and we'll see what's happening. I'm coming back to that a little bit later when I Discuss the outlook for 'twenty one. And the share price on the Ultima basis had an increase of 17 Percent, well, you know that BABA is normally a very conservative title, dividend oriented. And for conservative Investors in so far very interesting because year by year or more or less nearly year by year, we could increase the dividend. As a joint company, €0.32 are now €1.
The comparison over the last years with regard To the EBIT performance, this is not operational or something else artificial. No, that's the real EBIT, including all the costs and other Impacts on the buyback P and L statement, Andreas is coming back to that in a moment. You see this is the absolute record high. And if you compare it with the average of €178,000,000 over the last years, 215,000,000 I think is really a great performance. Also Q4 was not bad, a little bit below 2018, this has to do, of course, with a sale of the projects in RE.
In 2018, the record high Was the result of the great projects, the big projects we sold Between Christmas and New Year. And in 2020, it's on the similar level comparison to 2019. And so far, I'm very happy and very pleased with this development. And as always, the strategic question, All these things which we initiated 13 years ago as we started with Renewable Energy, then Global Produce, our international grain Trading commodity trading business and some other globalization activities, which we initiated, is the strategy worthwhile to be considered as Positive result and success, of course, and you see here the comparison between the yellow and the green part. The yellow part is the expansion, the new businesses, the internationalization and so forth.
And you see we are right now on the level of 65% EBIT contribution from these type of business and the Baibar AG, so the classic Baibar business over the last years are more or less Stable. Also, we have some problems and restructuring activities to do in the classical agriculture sector, especially in Germany. So let's go through the different business segments. You see the energy sector with an EBIT contribution of €142,700,000 Which is a great performance. It's a record high as well.
The revenue is on the level of €4,200,000,000 And we sold last year a little bit less megawatts as we planned, Which will have a positive impact on the Q1 in 'twenty one. It's just a postponing effect, 667 megawatts. And meanwhile, we have 9 gigawatts under management in our service department. The maintenance, the service and all that stuff will be handled By WAI as well, even after the sale of these wind and solar facilities. And in the conventional business where we have really a sensational result, you will see it in a moment, the pellet Business, wood pellet business is increasing.
So this is a type of more or less new business And a positive business development because we have to balance the situation with the heating oil. Looking to the market developments, this is nothing new. In our last conference, I spoke about the international, the global situation for the solar and the wind Business, there's no change, more or less the same. So especially solar is very promising for the next years. But even the wind onshore will have a very positive impact on our bottom line.
On the right side, you see the volatility and the Price development, especially of the Brent oil and the demand was very high, not only within the buyback community For the heating oil due to the corona crisis impact and the low price for oil. Next Page, you see the Renewable Energy sector. We have an increase on the revenue side, €2,500,000,000 and EBIT On the level of €110,900,000 There's one thing besides the solar and wind business I would like to emphasize that's especially our Trading activity, the solar trading in the service business, which is going to be more and more important than the solar trading, we are number 1 in Europe. Meanwhile, We were in a very complicated situation as our competitors as well, but we were Stable and we had so to say, we had also the courage to continue with this business. And now it's very profitable And a great success, and we are pleased with the development in this business.
So as I said, the most important operational And M and A achievement in 2020 was the finalization of the process for the equity increase in Baibar RE. So we are now in the process, you see that on the left side, to change the legal structure of Baibars, our E GMVH. It's going to be an AG. The registration has been started yesterday. We had our initial Supervisory Board meeting.
We have now an The Executive Board with 3 people and the CEO, of course, is Matthias Taft, who used to be the Head of Energy and our Baeva AG Executive Board, and we have a Supervisory Board with 6 people. And the Chairman, I have the honor to Take this position. On the right side, you see the development of the profitability over the last 10 years. It's really a great success story. And RE is going to be in the future one of the key, the most important business pillar for the Bayer Group.
You will see that a little bit later when we tell you the real stuff, so to say. So our Expectation over the next years regarding the EBIT situation. What does all this mean to be On a higher level as we were in the past because we achieved more or less all KPIs, which we committed and promised a few years ago. Some of you were with us in the Netherlands. Maybe you remember and with our presentation, I just told you some figures and we achieved all The KP, so we need something new.
And today, we will communicate that to you. So here are some pictures I just need not to comment at, and I would like to come to the conventional energy business. Here you see Despite the sale of Tesol, our fuel station activities in Germany in 2019, we have a record high on the profit Right. You can see that here. And the reason was the high demand for heating oil, but also the margins in the Fuel were very positive.
So bottom line, great performance and exceptional. We are coming to the Agri business with our Revenue level of around about €11,000,000,000 The contribution is still very high, but not on the level which we would like to have, €107,100,000 Roundabout 11,000 nearly 12,000 employees are working in the sector. We were reducing a little bit our commodity trading down to 31,500,000 tonnes. And the fruit business, the global produce A sector which is one of our positive and future oriented business pillar besides RE, Nearly 500,000 tonnes. As I joined this company, we traded 36,000 or 37,000 tonnes.
Here you see we Really on a complete different level, meanwhile, due to the acquisition for many years well, some years we made In New Zealand and also the machinery business, the Agri Technology sector, the tractor sales is also On the highest level since we are here together, Andreas and myself and the Board, 5,800 something tractors, This is really also exceptional. So some comments on the market developments. Of course, last year, we had some Downturn, especially in the input business, the margin were decreasing. Also, the demand was not as So high in average as in the previous years. And on the right side, you see the global grain harvest.
So the Balance sheet, so to say, it's more or less stable. And the expectation we had last year was, well, Maybe we have to struggle a little bit in the international commodity trading. Nevertheless, you see here, we are a little bit lower In the revenue side, but higher on the profitability, the €25,000,000 This is an asset light organization. By the way, Bast is going to be Renamed in Seifitra because Seifitra, that's the brand where the customers understand what this company is doing. And interesting enough is the commodity are more or less always very volatile and under pressure.
That's normal in this business. And we took the decision to reduce a little bit volume. We are trading in the commodities, and we try To invest in specialties, which we did over the last years, we acquired some companies like Royal Ingredients, Premium Crops, Tragomex and some other companies. Just a few weeks ago, we started a new business in Dubai and the Emirates With regard to specialties, pulses, vitamins, minerals and stuff like that for the Compound feed industry, the production here in Europe, and we are the key supplier for all these customers. And you see that the specialty strategy is also a great achievement of Dan Friens and his team in Rotterdam.
We are coming To yes, here you see some operational developments over the last year. Here, this is the fertilizer business, CASK, which is The most important product line for us. You see the downturn of the price last year and now the upside, which means that we Are facing at this point in time a better result for the agribusiness, especially in Germany, Austria and some Eastern European countries. Coming to the results, this is the only negative slide I have to show to you. We have a Slight increase on the revenue side, euros 3,700,000,000 and the profitability is coming down from €7,000,000 to €14,000,000 What is the reason for that?
First of all, we have some extraordinary write offs. Andreas can comment on that. Secondly, we are in a restructuring and reorganization process For the Agri business here in Germany, which is absolutely key. Why do we have to go through such a process? First of all, we have a Type of uncertainty in Europe regarding the GAP?
What's going to happen in the future? We expect a downturn in The input business due to changes in the product range, which will be allowed in the European Union. The third point is the consolidation process In the agriculture sector, so the farms are going to be bigger, bigger, bigger, bigger and we have to adapt our structure. We will be more in the supply chain management as we were in the past. We need a reasonable storage to So it's concept to offer to the customers to the farmers, but also the process industry, our customers as well.
And we have included in this minus €14,000,000 also the restructuring cost for 2020. The process will still go on. I suggest I think over the next 2 years more or less, this is also the time frame We gave to Markus Bellinger, the Head of our Agriculture Business for Germany in our Executive Board. This is not an easy task. It will take time.
We are going to reduce the sites all over Germany down to 80, 70 round So there's no change in the figures which are announced a few years ago already. This is a complicated and long ongoing process Because we can't change this from one day to the other. And so far, I ask you for a little bit patience. But here, you see the A real advantage of being a portfolio company because the success of the other business pillars Can and is supporting the restructuring process in the agribusiness. But also to make clear what is the meaning of the Agribusiness in Germany for the overall picture of Bayer Corporation, and it's just 10%.
And I don't see in the future the past EBIT and PBT levels, which we were used We will not see them again because the business is as it is, the structure is as it is and the profitability is as it is. So our job is To try to become profitable again, but the €50,000,000 €60,000,000 €70,000,000 which we saw in the past, We will not see again. So but please, as an analyst, but also as an investor, banker and so forth, Just put that in relation to the overall picture of fiber, it's just 10% of the revenue. So we come to the Agri Equipment. So our machinery business sensational result.
As you can see Here, again, an increase in 2020. It has to do, of course, with the investment A willingness of the farmers, especially in Germany and in the Netherlands, where we are very successful with our participation. So the Echo product lines, but also class is very successful. We are also happy with the development in Canada. And Well, South Africa is complicated, but is not in the complete in the full consolidation of our balance sheet.
It's Just at Equity, what is the outcome here? I come back to that a little bit later because it has to do with the new Figures in the forecast we would like to show you today. Then our next segment is Now we are coming to Global Produce. I would like to show you just the figures. The first thing is a great operational Success.
So the €41,000,000 EBIT in 2020, you can't really compare with previous the previous contributions Because this is much more operational as it was in the past. So I'm very happy with this performance because it shows that our investment was reasonable And it was worthwhile to do. And the global produce business is one of our key pillars besides the Renewable Energy sector, and we are going to invest in this business in the future. So the apple harvest was very positive. The volumes We're increasing also in 'twenty one, and the price development was positive as well due to the demand.
I think this has to do With the corona crisis because people are eating more healthy food, vegetable and, of Of course, apples, you eat minimum 1 apple a day and it keeps the doctor away. And we have the slogan, eat more than 1 apple a day, and It keeps all the doctors away. There are more doctors than one normally. So we come to the Building Materials So you know over the last years, we went through a very tough restructuring process. And so far, this result for us is not really Surprising, but it's not for granted.
Of course, the management has to do a lot of work and the employees, around about 4,500 people working in this segment. You see the revenue is increasing again after the downturn and the restructuring and the sale of some activities in the northern part of our country. And now we are on a level of €47,000,000 and we have included in this profitability Also some negative one timers, which are affecting the bottom line. So it's operationally much more than €50,000,000 And I'm more than happy we have still a building boom in middle of Europe and especially here in Germany, the south of Germany, Where the money is, more or less. And we are also changing a little bit of the strategy.
So Bayer started 2 years ago, the project development business also In the building sector, and here is the first little contribution included in this EBIT. And over the next years, we expect Right, about €20,000,000 EBIT coming from the project development. And so far, change in the structure. Nevertheless, we are One of the key building the drill companies in Germany, no doubt about it, but we have to change a little bit our Product structure and the product portfolio and project development is key. By the way, this is in all business pillars key.
As I said in one of my previous meetings with you, ladies and gentlemen, I always said that we are going to change BABA in a more Solution provider company and the project development company as it was in the past. So wholesale is not really anymore our key business. Here you see the market development on the next page, if you might turn. So the boom is or the positive development in the building sector is still valid. And so far, I don't expect any change in the future.
This is again the P and L statement increase of, I I think 11.5 percent in the revenue area and an increase a significant increase of Up to 48.1 percent. I can't read it because I don't have my glasses with me. But it's more 40 something. Well, it's a great success. Good.
So now the digitalization innovation part, this is not only an operational P and L statement, As you know, because this is our key investment sector for innovation, for new business models, But also for the product portfolio we are going to offer or we are offering already to the farmers with Farmfax and VISTA And so far, not a big change, a little bit lower than in the last years. So this is, of course, our New business development center, so to say. And so far, the revenue, well, it's nice, especially And mainly software licenses, fees we get from the farmers. And in this negative EBIT, the investments Are included as well. So in other words, great operational performance, great results.
The increase of the dividend, I think, is very positive. And now we come to the detailed financial view and I hand over To Andreas Helbe. And by the way, again, congratulations to my dear colleague. Andreas' contract has been extended another 5 years. Term from the Supervisory Board, unanimous decision 2 days ago and I'm CEO especially Very happy that our cooperation is going to be continued over the next years.
Thank you, Klas. Thank you, Klaus, and very welcome also from my side. Good morning here From the 20th floor of our Bellerhouse in Munich, it's a pity that we can't meet physically again once again since last time The first time here. And this meeting room here in Munich in the 20th floor have more or less been changed into a TV studio, so we are sending out of this TV studio, but we have a wonderful view over city of Munich on this first really first spring date Here in Munich. So it's really a pity that we can't meet physically, but maybe next time Again, what we presented to you and Claus made in the details, I would put it now a little bit together into an overlooking frame, It's a continuation from what we reported already since last year, latest in November.
So that has been a very successful year, and we look back on it once again before we start then for the new season here in 2020 1, we put it together and I took all the segment P and L statements Together, just to summarize the statement that Claus gave on each segment, But just put it together on the numbers, you see that each and every segment that we presented, if it's energy, agriculture or building materials, improved Compared to last year and improved over the line of the last 5 years. So it's quite impressive to see that for the Energy segment, the EBITDA Came up to €230,000,000 and the reported EBIT is €143,000,000 And you see where we came from in 2016 When we that was not the start, but in 2016 when the last 5 years period started. The same on agriculture and even having the little bit mess with the domestic business that Claus We talked about it and we informed you about in the previous conferences already, but also the agriculture segment Due to a very, very strong closing quarter in the technical equipment division came over the €100,000,000 again, And that was a good improvement compared to 2019.
And it's also a big pillar in the contribution of EBIT So even with the situation that we have here in the domestic business on agriculture in Germany, in particular in Germany. And building materials, I know those who follow us for years have know the story, the transformation that we not only went through on the Agricultural Equipment division, but also In the Building Materials division, and I remember good the discussions we had years ago and in 2012 when we carved out the Building Materials, the DIY Part of the Building Materials division, the discussion that it was there. And now look on the numbers where they are, nearly €50,000,000 Contribution and taking into account the one timer burden in Austria that we have with this malversation Costs in there burdened the result with some €7,000,000 So it would operationally be over €50,000,000 compared to what it was in 10 years ago. That's really a very, very good increase, a Successful story over the years in this division. If you put this all together then in a moment, but just one Look, on the final quarter, again, and Claus already reported on the Q4, which has been a strong quarter, again, Above the Q4 in 2019 and the 3 quarters in 2019 already We're stronger than the in 2020, we're stronger than in the year before.
So this is again a very strong quarter, supported, of course, by the Technical Equipment division, but also by Renewable Energy. If you put this all together now in the group financial income statement, you see the financial indicators that we report In the annual statements and the annual report, the EBITDA, the EBIT and the EBT, All very good increase to the EBITDA nearly €470,000,000 an important number for our leverage where we come to in a minute. The reported EBIT, €215,000,000 And honestly, it has been operationally, it would have been Even higher since we took, as Claus reported, some one timers in their corona related one timers, but So business related one time is in the RE business, in the Building Materials sector, in particular, €20,000,000 of costs for the corona Effects that we faced not only supporting measures for the direct corona related part, But also the missing bank dividends that we reported already in November in Austria and here in Germany, that all sum up to €20,000,000 On one timers that are completely included here in this €215,000,000 And the EBT, 40% up compared to last year, €111,000,000 I think it's the best EBT we have ever Disclosed here within Baibar.
And when it comes to the net income, you see that we are slightly below The previous number that was last year originally EUR 61.1 Then we had a correction made on the tax in 2019 by €4,000,000 So it came up to 65.1% and compared to the 61.3% that we report today. This is needs explanation and an You'll find on the next slide, we reported an income tax of some €50,000,000 And that is really a high number. It comes up to a quota of 45% or even more. But this is driven by 2 main aspects. Both Are not cash relevant and both are only reported in the deferred tax disclosure.
Two effects, €17,000,000 effect that we reported on write offs of Tax loss carry forwards, assets deferred assets on tax loss carry forwards that we took out in particular in Entities within the Renewable Energy sector. That was taken for good reason Because we want to make the way free for dividends being paid out of these entities up to the mother company then being able to being paid Into buyback mother company in the future and also in preparation to take the investor in, we thought it would be good to correct These it's a prudent calculation, I would say, but we took it in here and that was the one reason for the tax It's a portion that we have in here. And the other thing is a quite curious thing. It has been has to do with the foreign currency Taxation, so this is something that will turn again within the next year or when these hedge things go out. Who is interested in that could be we could talk on this later if it's this is really high level of taxation Accounting, but these two effects sum up to some €29,000,000 in total.
You took them out because this has nothing to do with the normal Tax quota, the income tax without these effects comes down to €21,000,000 That relates with an Overall income, net income of some €90,000,000 which is the reported or the operational net income On the parent company, a portion of €65,600,000 and that was also the valuation to make the dividend A resolution of €1, you see the earnings per share with the hybrid in of €1.50 And €1 is proposed to the General Assembly as a dividend for 2020. So quite important to understand these items, one time and not cash related. So I think that has been a very special thing in 2020. When we look shortly on the balance sheet, and we already included here the tax increase the tax increase the equity increase, which is named Emerald. Emerald was the project name of our RE transaction.
So this transaction It's completed. Closing has been only last Friday and the money, the cash received was also on last Friday. So that brings up the equity ratio and the equity itself up to nearly €1,800,000,000 again. Compared to 'nineteen to 'twenty, you see a decrease within the equity. The most significant driver on that was that within the last quarter, The interest rate for the pension liabilities again came back.
It came back from 1.1 to only 0.6% now. 0.6% is really nothing. You remember that we came from 5.25 So once again, it hit the equity for the financial closing date by some €40,000,000 That has been included in here and some other tax effects. But now after the tax increase, The tax the equity ratio the tax increase the equity increase, the tax ratio the income equity ratio is again back at 20% nearly 20%. And also on the interest rate, we see a slight shift Into the upward situation again that would also be reflected in the 2021 Numbers.
Good luck on the financial debt position. You see it here on the debt long term debt and the short term debt. Both came down during the year 2020 by some in total, €300,000,000 nearly 10% Of the overall gross debt position by 300 percent €300,000,000 on the long term and the short term, Very good working capital management, reducing of exposures and particularly in the international trading business has been the most effective reasons Here on this reduction scheme. The group cash flow for the reflecting is that The cash earnings up to some CHF 400,000,000 cash flow from operating activities due to the working capital management the active working capital management On the inventory, mainly up to €675,000,000 the free cash flow around about €400,000,000 and this free cash flow has mainly being used to reduce the debt position by some CHF 300,000,000 that I reported now in the financing activities. The cash flow from investing activities looks to be to seem that we have more invested in 2020, But this is the main effect is that we transformed some of the projects that we held in the inventory on the RE level and the inventory Into the fixed assets portion, starting on the IPP already.
So this has been included here In this investment cash flow. One KPI which is always important for us in reporting also to the banks and Capital Financial Markets is our leverage, and we made good success and progress here on the leverage situation Throughout the years, of course, by reducing the debt position, but also by increasing the EBITDA. So it came from 6 0.0 in 2019, down to 4.8 at year end. If we include now The Emerald transaction, as I said, the money is on the bank account. In the meantime, it further reduces down to 3.7.
So the leverage, The net debt to our EBITDA is down at 3.7% coming from 6% in the year before. I think this is a very good Progress, a very good number also in the discussions with our lenders. Finally, a view on the economic profits. You know that this is one of our Guiding schemes for the operational entities, it's all good except for the domestic Agribusiness situation is also not a new picture. The new picture is that except for this one subdivision, all others They are earning an economic profit.
They are earning their cost of capital and above that an economic profit. The one thing that we have to work on strongly and Markus Perlin and his team is doing that very successfully is the agri trade and service situation. You see that it's a minus economic profit, and that's mainly due, of course, the Profit situation that Claus already mentioned that will continue for the next 2 years, but also the invested capital Been much too high in relation to what they can earn. So the aim is to reduce this portion of the invested capital we Discussed it already last time by €300,000,000 to €500,000,000 over the next years. And that has to do With strategic changes also in the setup of this whole business where Markus and his team is Working on.
All the others are on green, very successful, very good development over the years, and we are very happy Being able to present this. And finally, always being looked at the other activities, the cost portion Within our P and L, it looks that it would be a dramatic increase. But taking into account that this considers the €20,000,000 the mostly €20,000,000 on corona related burdens At the relative the overall number, euros 70,000,000 including the €20,000,000 On the direct related corona costs, but also the missing bank dividends that we mentioned from Austria and from Germany, €1,500,000,000 here in Germany, €4,500,000 in Austria. We hope for 2021 that we at least get them back. And maybe what we heard from the German line that we can double them.
At least the Zett Bank already announced that they will have 2 dividend payments within 2021, and maybe the colleagues in Austria will follow with that example. That would be good. At least we expect the €4,500,000 that missed in 2020 will come back here in 2021. So that has been the view on the numbers, the view on the very successful financial year 2020. But I think more important is Look, not only the outlook for 2021, but I think a very exciting outlook into the time on to 2025 because As Claus mentioned, that would set up a new frame for the profitability And development for the next couple of years.
And therefore, and therewith, I hand over again to Claus, I guess. Yes, that was it.
Thank you, Andreas. It's interesting that you had this type of misspelling. You were talking twice of tax increase and demand equity increase. I fear we have to suffer Tax increase over the next years due to the corona crisis and the bazooka, so called bazooka in Germany. 1,000,000,000 over 1,000,000,000.
Okay. That's a different story. Now the question is where are we going to? And of course, everyone would like to Understand what's going to happen. Well, 2020 is over and but give me just one second to celebrate this great success In 2020.
Okay. This was the celebration. Now we continue. Yes, I know because if I read the press releases, the press I'll take this and so first, always the question what's happening, what's happening. Now we just have to look back and to celebrate a little bit this great And looking forward now, just a short period of time, it was one second or so.
Now we come to the operational what is this? Doesn't work here. Forget about it. So the outlook in 'twenty one is we don't give guidance as the last 13 years. And this is the 13th Annual report we are presenting or I present together with Andreas.
And the energy sector is very positive. So business intact, agriculture, We go through the process in Germany. As I said, it's below 10% meanwhile. And so far, important from a D and A point of view and also For our stakeholders, extremely important what's happening in the German Agri business, but the international business, the global produce and also the machinery business, we are Expecting a similar positive development as we had it last year. At Building Material, the trend is intact.
No change, as I said. But now the most important slide, of course, is what's happening over the next years. Our statement we made, some of you We participated in the Netherlands, as I said at the beginning, and the question is now, after accomplishing the €250,000,000 and the 3 €70,000,000 EBITDA and all the other KPIs, what do we want to achieve over the next years? Maybe you are surprised that the time frame is till 2025. What does it mean 'twenty five, my contract is hopefully valid.
And so my time I expect that my time here within Baibars is going to be it will be the end. No, not the end, but Something like that. So 'twenty five is the end of my contract. And the question is now, what do we want to achieve over the next years? On the basis So of all the strategic impacts and operational excellence and all that stuff, which is normal and the growth is normal.
But you see That over the next years, we will achieve on the basis, especially of the growth in renewable energy, we'll achieve Really new EBIT and profitability level. And if you compare that with 'twenty eight or 'nine, 'ten and so forth, This is really a new chapter we are opening now for the Bayer Group. So the first thing is we expect over the next 4, 5 years, an increase on the EBIT level of a few €100,000,000 so to say, Up to 450,000,000 more or less, 400, 450,000,000 Of course, the frame is clear. No big change in the classical business and that Project and the projects and the business developmentthe budget and the plans of Bayer AG Are going to be successful and they have to be achievable, otherwise it doesn't work. But this is our goal, around about €450,000,000 70% of the EBIT will come from the diversification and the expansion businesses.
And important is also for the sustainability of this company and the sustainability Will be the headline of the future and for the future of BAIVA as the sustainability company. We expect that more than 50% of the EBIT is coming from green Business model set. It's not only Renewable Energy sector. We were the very first in Germany, as you know, which started this business Before Fukushima, even the word or the city was known to politicians, for instance. And so far, that's absolutely a must for us.
And of course, the reduction of the GHG emissions of roundabout 22% till 25. And as you might know, we achieved already the green energy supply, 100% internal Green energy supply in this current fiscal year. And so far, this is also Ambitious goal. Nevertheless, part of it we have achieved already. And the question is, don't we have this Slide with the differentiation.
No, we don't have this. Okay. So that's it. You can expect from us €450,000,000 EBIT, With all the impacts on the dividend development on the PBT and all these financial issues and so forth. If you have further question, We are more than happy to take those and to try to give you an adequate and appropriate answer.
So thank you. And I hand over to Mr. Deane, please. To you. Could you get
this thing? Once again, going back to could we go back into this presentation? Is it possible? I tried to get back to the latest So slide. Two slides back, the last one for Sklar's presentation.
I just want to clarify one thing because we already got a question in advance of this conference once again. Yes, this one. Looking on this €400,000,000 €400,000,000 EBIT target that we here now announce, It's saying it is operative business units. Just to one thing make one thing very clear, we had last time when we Presented that in the Netherlands for the first time and the year is ongoing. We had some misunderstandings, clarifications requirements.
Is it including the cost sector? Is it only the operational segments? Just to be very clear on this target this time, It includes all in. This €400,000,000 to €450,000,000 means all the 3 operational segments, Energy, agriculture and the building materials sector and reduce that by some €60,000,000 portion On the overhead costs that we've seen more or less stable on the situation as it is. And the question that we got upfront, I answered this question because The person who took this question or brought this question is not participating today, but he will get the answer anyway Where the development should come from and it's mainly driven by the Renewable Energy business, of course, because you saw the upfront situation that we showed you in the RE segment, but also by an improvement on agriculture.
Agriculture has been reported in the former screening or formal setting With a requirement of €150,000,000 you remember that we disclosed this €250,000,000 operational result, €50,000,000 for energy, €150,000,000 For Agriculture and 50 for Building Materials. I would say we are not showing the split up here on an individual slide, but to be very clear on it, For Building Materials, it's still valid. And for Agriculture, it should come there from this 100 that we have today, being supported By an improvement on the traditional agriculture business, but also by the international trading activities, whereas the Cultural equipment performance would probably be more normalized again under this view. And the huge impact, of course, will come out From and it's 2025 target from the RE situation, we already showed you that over the next 2 years, we will double the income From the RE activities, so that will be the driver for the growth in the EBIT. But just to be once again very clear, it includes all.
It's comparable with the €215,000,000 that we disclosed today. Yes.