A strong first half supporting the full-year outlook
Statement by CEO Mauricio Graber: “The strong results for Q2 confirm the attractiveness of the markets we serve in FC&E and H&N, and the resilience of our customer-focused business model. Organic growth came in higher than expected and reached 11%, driven by both pricing initiatives and volume growth. EBIT b.s.i. increased by 8% despite higher input costs and a less favorable product mix, leading to an EBIT margin b.s.i. of 27.0%, which was in line with expectations. In light of the increased impact from EUR-based pricing we adjust our outlook for 2022/23 for organic growth to 8-11%, while maintaining the outlook for the EBIT margin b.s.i. of 26-27%. The outlook for the free cash flow b.a.s.i. is adjusted to EUR 180-220 million.
With the approval of the proposed merger from shareholders of both Novozymes and Chr. Hansen, we have reached an important milestone towards creating a leading biosolutions partner based on complementary technology platforms. Together with Novozymes, we continue the regulatory approval process with closing expected in the fourth quarter of the calendar year 2023 or the first quarter of the calendar year 2024.”
Q2 2022/23 highlights
- Revenue amounted to EUR 338 million, up 11% from EUR 304 million in Q2 2021/22. Year-to-date revenue amounted to 647 million, up 13% from last year.
- Organic growth was 11%, driven by a mix of price and volume growth. Food Cultures & Enzymes organic growth was 12% and mainly driven by price initiatives, but with good volume growth above underlying markets. Health & Nutrition organic growth was 9% and driven by volume, but with an increased impact from pricing initiatives.
- The Lighthouses (Bioprotection, Fermented Plant Bases, Plant Health and HMO) were positively impacted by the timing of orders and delivered 38% organic growth combined in Q2, while the core businesses delivered 8% organic growth. Year-to-date Group organic growth was 10%. Lighthouses showed organic growth of 21%, while the core businesses delivered 9% organic growth.
- EBIT b.s.i. amounted to EUR 91 million, up 8% from EUR 84 million in Q2 2021/22. The increase was driven by a positive contribution from exchange rates, pricing initiatives and volume growth, which was partly offset by the negative impact from higher input costs, and a less favorable product mix. Year-to-date EBIT b.s.i. amounted to EUR 168 million, up 12% from last year.
- The EBIT margin b.s.i. was 27.0%, down from 27.7% in Q2 2021/22, as continuing inflationary pressure, the negative impact from the product mix and a high comparable in Health & Nutrition from Q2 2021/22 were only partly offset by a positive impact from pricing initiatives, scalability and exchange rates. Year-to-date EBIT margin b.s.i. was 25.9%, compared to 26.2% last year.
- Free cash flow b.a.s.i. amounted to EUR 56 million year-to-date, down from EUR 86 million last year, as the cash flow from operating activities b.a.s.i. was negatively impacted by a change in working capital driven by inventories, and an increase in taxes paid.
Outlook September 1, 2022 – August 31, 2023
The current EUR/USD exchange rate level stands at 1.10 versus 1.07 at the time of the most recent 2022/23 outlook, provided on January 12, 2023. In light of the increased impact from EUR-based pricing, the outlook for organic growth is adjusted, while the outlook for EBIT margin b.s.i. is maintained. The outlook for the free cash flow b.a.s.i. is adjusted to reflect a change in phasing of operational investing activities.
| April 13, 2023 | January 12, 2023 | |
| Organic revenue growth | 8-11% | 7-10% |
| Impact from exchange rates on revenue | Neutral | Neutral |
| EBIT b.s.i. growth compared to revenue | In line | In line |
| EBIT margin b.s.i. | 26-27% | 26-27% |
| Free cash flow b.a.s.i. | EUR 180-220 million | EUR 170-210 million |
The outlook for 2022/23 is based on actual exchange rates until April 12, 2023, and for the remainder of the financial year 2022/23 assuming constant exchange rates at the current level of EUR/USD rate of 1.10. For further details on the outlook for 2022/23, please refer to page 9 of the interim report.
科 汉森是一家全球性且具备差异化的生物科技公司，为食品行业、营养行业、制药行业和畜牧业开发天然原料的解决方案。 在科 汉森，我们拥有独特的优势，可通过微生物解决方案推动积极的变革。 在过去超过 150 年的时间里，我们致力于实现可持续的农业、更好的食品以及让全世界更多的人过上更健康的生活。 我们的微生物和发酵技术平台拥有改变规则的潜力，库存广泛且价值重大，包括约 50,000 种微生物菌株。 除了适应客户需求和全球趋势外，我们还将挖掘释放有益菌的力量，以应对食物浪费、全球健康以及抗生素和杀虫剂滥用等全球挑战。 作为全世界最具可持续性的生物技术公司，我们每天影响超过 10 亿人的生活。 受我们的创新传统与对前沿科学的求知驱动，公司宗旨“To grow a better world. Naturally.”体现在我们的所有工作中。