Novozymes Reports Food and Beverage Enzyme Sales Increase in First Quarter of 2012

Results for the first 3 months of 2012 show that Food and Beverage Enzyme sales were $137.9 million (774 million DKK); up from sales of $135.2 Million (759 million DKK) in Q1 2011.

26 April 2012 --- Novozymes has announced that its Food & Beverages Enzymes sales increased by 2% compared to the first quarter of 2011.

Results for the first 3 months of 2012 show that Food and Beverage Enzyme sales were $137.9 million (774 million DKK); up from sales of $135.2 Million (759 million DKK) in Q1 2011.

Enzyme sales to the baking industry and recently introduced solutions for the production of healthy foods were the primary positive contributors to the sales development. Enzyme sales to the starch and beverage alcohol industries experienced a modest decline in the period compared to the same period last year.

“The first quarter developed as expected on the back of a challenging comparison in the first quarter of 2011," says Steen Riisgaard, President & CEO. “We are performing as planned and posting higher profitability, with enzymes sales for the Household Care and Feed industries being the strongest growth contributors as expected. Although the global economic situation remains uncertain, I’m pleased that we're on track to meet the outlook for the full year.”

The company say that overall sales growth of 2% in DKK for Q1 2012 is in line with expectations, on the back of a challenging comparison in the first quarter of 2011. The outlook for sales growth is maintained at 7– 11% in DKK and 4–8% organically. EBIT grew by 7% compared to the first quarter of 2011, resulting in an EBIT margin of 24.9%. Full-year outlook for earnings, free cash flow and net investments unchanged.

The full-year 2012 organic sales growth expectation and the expectation for growth in LCY are maintained at 4–8% and 3–7% respectively. Based on exchange rates at April 24, 2012, sales growth in DKK is maintained at 7–11%.