Profits up at Tessenderlo but Suffers Hit on Food Waste Unit

16 Feb 2016 --- Tessenderlo, the Belgian food and agriculture group, has reported profits up by 55 percent over the year but profits fell at its division that processes food waste.

Tessenderlo reported that its profits in 2015 were up 55 percent from €52.8 million ($58.9 million) to €81.9 million ($91.3 million) over the year while revenues were up 11 percent from €1.43 billion ($1.59 billion) to €1.59 billion ($1.77 billion).

Key contributors to the lift in profits were the performances of its fertilizer business and its industrial business, which makes chemicals for the mining industry.

But its bio-valorization division, which processes waste from the meat industry to it can be used in food, suffered a loss of €1.2 million ($1.34 million), which the company said was down to an accounting write-off.

This compares to profits in the division of €6.3 million ($7.04 million) the year previous.

However, it said that its bio-valorization business had reported an increase in core profits in its last financial quarter, due to tight cost controls.

Tessenderlo’s results surpassed the expectation of analysts.

It said profits were expected to grow of upwards of 20 percent in 2016.

The company did not update the market on its proposed merger with the Belgian company Picanol, which was announced in December last year.

Founded in the 19th century in Belgium, Tessenderlo has grown to become an international company operating in 22 countries.

It has looked to grow its business in the US.

In 2012, it purchased the crop protection assets from Bayer CropScience to further expand in the country.