Chr. Hansen Upgrades Full Year Expectations
Revenue in the first half 2010/11 amounted to EUR 315 million – up 23%, with organic revenue growth of 17%. Operating profit (EBIT) before special items was up by 23% to EUR 71 million, while Q2 revenue increased by 24% corresponding to organic revenue growth of 19%.
4/6/2011 --- Chr. Hansen has reported strong growth in the first half of 2010/11. This leads to an upgrade of expectations to the organic revenue growth from 11-13% to 12-14%.
Revenue in the first half 2010/11 amounted to EUR 315 million – up 23%, with organic revenue growth of 17%. Operating profit (EBIT) before special items was up by 23% to EUR 71 million, while Q2 revenue increased by 24% corresponding to organic revenue growth of 19%.
"The first half of the year has shown the strength of Chr. Hansen with revenue growth of 23%, corresponding to 17% organic growth. All three divisions contributed to the result. We continue to see a strong volume growth for our Colors & Blends Division due to an increasing demand for natural colors globally. We also experience a good momentum in dairy cultures for yoghurt and cheese and for our products for human and animal health," says Lars Frederiksen, CEO.
"Not only the divisions but also all of our four regions came out positive in the first half of the year. We saw the strongest organic growth of 24% in Asia Pacific, Africa and Middle East (APMEA) but also Europe - our largest and most mature region - showed organic growth of 18%," Lars Frederiksen continues.
As a consequence of the strong evolution of the business, particularly driven by a global conversion from synthetic to natural colors, the outlook for the financial year 2010/11 is revised upwards.
Revenue for 2010/11 is now expected to grow organically by 12-14% compared to 11-13% in the announcement of January 12 and further to the original announcement of 2 November 2010 of 8-10%.
EBIT margin before special items is expected to be at or above 25%, however pressure on group margins from a changed business mix has increased, Frederiksen concluded.
