Solid momentum continues: 9% organic growth in the first 6 months of 2018/19

Solid momentum continues: 9% organic growth in the first 6 months of 2018/19
Press Release | Apr 03. 2019 06:08 GMT

Chr. Hansen delivers solid half-year result of 9% organic growth and maintains overall outlook for the full year.The growth comes from all business areas: Food Cultures & Enzymes 10%, Health & Nutrition 11% and Natural Colors 5%


Solid organic revenue growth of 9% in the first half of 2018/19: Food Cultures & Enzymes 10%, Health & Nutrition 11% and Natural Colors 5%. EBIT before special items increased by 10% to EUR 150 million, corresponding to an EBIT margin before special items of 27.0% up 0.8%-point compared to last year. In Q2, organic growth was 8%, and EBIT before special items increased by 11%. The overall outlook for 2018/19 remains unchanged.

CEO Mauricio Graber says: “We continued the solid momentum, with Food Cultures & Enzymes delivering strong organic growth with an increasing contribution from volume in Q2, which was in line with our expectations. Towards the end of Q2, we launched CHY-MAX® Supreme, a truly innovative enzyme which raises the bar for what cheesemakers can expect from coagulants. Organic growth in Health & Nutrition was solid and with a more balanced growth contribution between Human Health and Animal Health compared to what we saw in Q1, although livestock farming economics in North America remain challenging. Yesterday, we announced a joint-venture with Lonza AG, which marks a quantum leap for Chr. Hansen’s Human Microbiome lighthouse and which will create a global pioneer and partner of choice for production of live biotherapeutic products. In Natural Colors we secured important conversions in North America, but this was to some extent offset by weaker demand from Latin America in particular."

"Our EBIT margin before special items in the first half of the year increased by 0.8%-point and was driven by improved margins in all business areas. In FC&E, we achieved a gross margin benefit of more than 1%-point from the ramp up of the new capacity in our facility in Copenhagen, which more than offsets the increasing investments we are making in the business. We continue to pursue strong and profitable organic growth while also investing significantly for the future.

"The progress in the first half year makes us confident about our overall outlook, which is maintained and in line with our long-term financial ambition.”


EUR million Q2
2018/19
Q2
2017/18
Growth YTD
2018/19
YTD
2017/18
Growth
Revenue 283.7 263.7 8% 553.2 518.2 7%
EBIT before special items 78.8 71.2 11% 149.6 135.9 10%
Profit for the period 58.0 51.1 14% 109.1 97.6 12%
Free cash flow before acquisitions and special items 40.1 29.9 34% 7.6 11.0 (31)%
Organic growth, % 8% 9% 9% 9%
Gross margin, % 54.7% 53.4% 54.8% 53.0%
EBIT margin before special items, % 27.8% 27.0% 27.0% 26.2%
ROIC excl. goodwill, % 33.3% 32.8% 32.8% 32.1%


OUTLOOK FOR 2018/19

The overall outlook for 2018/19 is unchanged compared to the announcement of October 15, 2018.


April 3, 2019 January 17, 2019

Organic revenue growth 9-11% 9-11%

EBIT margin before special items around 29.5% around 29.5%

Free cash flow before acquisitions, divestments and special items around last year around last year

The guidance for EBIT margin before special items and for free cash flow before acquisitions, divestments and special items assumes constant currencies from the time of this announcement and for the remainder of the financial year.


Additional information

Regrettably, Christoffer Lorenzen, member of the Executive Board and EVP of Food Cultures &Enzymes, has decided to pursue a career outside of Chr. Hansen as CEO of Karo Pharma (HQ in Stockholm, Sweden). Christoffer will leave his position at Chr. Hansen by the end of June 2019.

Jacob Vishof Paulsen, currently EVP of the EMEA and North American regions, will assume the responsibility for Food Cultures & Enzymes, reporting to CEO Mauricio Graber. During the next few months Christoffer and Jacob will work closely together to ensure a smooth transition of responsibilities.

Jacob Vishof Paulsen joined Chr. Hansen in October 2006 as Sales & Business Development Director in Global Sales. He was later appointed Area Country Manager for Central East Europe and spent one year at the Chr. Hansen office in Parma, Italy. In April 2011 he took up the position as Regional VP for Europe. In 2013 he was appointed Group VP and Head of EMEA with report to the CEO. In 2016 Jacob was appointed EVP of the EMEA & North American regions.

Following the change, the Executive Board will consist of: CEO Mauricio Graber, CFO Søren Westh Lonning and CSO Thomas Schäfer. The Executive Board is appointed by the Board of Directors and is responsible for the day-to-day management within the guidelines and directions given by the Board of Directors.


Компания Chr. Hansen — это ведущая бионаучная компания мирового уровня, которая разрабатывает натуральные решения для пищевой промышленности, сельского хозяйства и фармацевтической отрасли. Мы специализируемся в разработке и производстве культур бактерий, ферментов, пробиотиков и натуральных красителей для широкого спектра продуктов питания, кондитерских изделий, напитков, пищевых добавок, кормов для животных и решений для защиты растений. Наша инновационная продукция создаётся на базе порядка 40 000 пробиотических штаммов − мы обычно называем их «хорошими бактериями». Наши решения открывают производителям возможность получать больший выход продукции с меньшими затратами, сокращая вместе с тем использование химикатов и синтетических добавок. Всё это делает нашу продукцию чрезвычайно актуальной на фоне современных тенденций. Экологически устойчивое развитие лежит в основе деятельности Chr. Hansen, направленной на повышение пользы продуктов и укрепление здоровья людей. В 2019 году компания Corporate Knights назвала Chr. Hansen самой экологичной в мире компанией, что стало закономерным результатом наших усилий в данном направлении и эффективного взаимодействия с заказчиками. Наши решения высоко ценятся как производителями, так и потребителями по всему миру на протяжении вот уже более 145 лет. Мы гордимся тем фактом, что более миллиарда человек ежедневно употребляют в пищу продукты, содержащие наши натуральные ингредиенты. Компания Chr. Hansen основана в 1874 году. Её акции включены в реестр Копенгагенской фондовой биржи.

Поделиться