Südzucker revises full-year forecast
December 19, 2019 at 10:43 AM ,
Der AUDITOR
Operating result turns profitable in Q3
The Südzucker AG states that the consolidated group revenues for the third quarter (1 September-30 November 2019) range nominally lower than last year at EUR 1,713 million. Last year’s revenues amounted to EUR 1,717 million. The good news is that the consolidated group operating result has risen sharply to EUR 39 million, whereas last year saw a loss of EUR -23 million. Better earnings were achieved in the sugar, special products and CropEnergies segments. Contary to this, earning considerably declined in the fruit segment.
Revenues exceed expectations for full fiscal year
This has prompted revisions in the full year forecast. Although the market giant is still reckoning with consolidated group revenues of EUR 6.7-7.0 billion for the 2019/2020 fiscal year (2018/2019 EUR 6.8 billion), the consolidated group operating result is now expected to range at EUR 70-130 million. Contrary to this, the initial estimates displayed a wider gap of EUR 50-130 million. Last year’s operating result came in at EUR 27 million. The lower end of the EBITDA estimates has been revised upwards to EUR 430-490 million, whereas previous estimates ranged at EUR 410-490 million. The figure is much higher than last year’s EUR 353 million.
Renewable ethanol is the main driver
Despite the improved outlook for the group, the sugar segment is nevertheless expected to experience an operating loss of EUR -200 to -300 million. Last year the loss amounted to EUR -239 million. Contrary to this, the special products segments is to experience a considerable improvement in earnings and the CropEnergies segment is expected to gain an operating result of around EUR 100 million. These profits are mainly driven by the continuous rise in sales revenues for renewable ethanol. In the fruit segment earnings should decline considerably.
Press release Südzucker AG (18 December 2019)
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