After solid growth in the fourth quarter Chr. Hansen announces strong full-year results that match the expectations for the year.
“Chr. Hansen continues to deliver solid growth and strong margins. In 2013/14, organic growth was 8%, while the EBIT margin before special items ended at 27.1%. The Cultures & Enzymes Division and the Health & Nutrition Division delivered solid organic growth of 8% and 15% respectively, while the Natural Colors Division delivered organic growth of 2% excluding carmine price effect.
The implementation of our Nature’s No. 1 strategy saw good progress during 2013/14 and we will take this further in 2014/15, with increasing investment in our new strategic initiatives for biological plant protection and the establishment of a dedicated sales and application organization in the Natural Colors Division,” says CEO Cees de Jong.
2013/14 in brief
• Revenue EUR 756 million, compared to EUR 738 million in 2012/13
• Organic growth 8%
• EBIT before special items and impairments EUR 205 million, compared to EUR 201 million in 2012/13
• EBIT margin before special items and impairments 27.1%, compared to 27.2% in 2012/13. Negative impact of 0.9 percentage point from lower level of capitalization of development expenditures
Fourth quarter 2013/14 results
• Revenue EUR 205 million, up 6% on Q4 2012/13
• Organic growth 8%
• EBIT margin before special items 30.0%, compared to 30.7% in Q4 2012/13
Outlook for 2014/15
For 2014/15 we expect organic revenue growth of 7-9% and an EBIT margin before special items is expected to be above 26.5%. Research & development expenditures incurred (% of revenue): 7-8%
Free cash flow before acquisitions and divestments: above EUR 130 million
Chr. Hansen is a leading, global bioscience company that develops natural ingredient solutions for the food, nutritional, pharmaceutical and agricultural industries. We develop and produce cultures, enzymes, probiotics and natural colors for a rich variety of foods, confectionery, beverages, dietary supplements and even animal feed and plant protection. Our product innovation is based on more than 30,000 microbial strains – we like to refer to them as ‘good bacteria’. Our solutions enable food manufacturers to produce more with less – while also reducing the use of chemicals and other synthetic additives – which make our products highly relevant in today’s world. We have been delivering value to our partners – and, ultimately, end consumers worldwide – for over 140 years. We are proud that more than one billion people consume products containing our natural ingredients every day. Revenue in the 2017/18 financial year was EUR 1,097 million. Chr. Hansen was founded in 1874 and is listed on Nasdaq Copenhagen.