Company update: Nutreco’s 2012 H1 revenue up 10.8%
Nutreco has reported a strong first half year results. With a record EBITA of €103.6 million, passing €100 million for the first time and 23.9% higher than H1 2011.
All business segments performed better than in H1 2011. The fish feed sector saw a strong volume growth, especially for salmon, with shrimp feed further increasing due to the contribution of the Shihai feed business in China acquired in October 2011
Wout Detter, Nutreco’s CEO, in a press release said “As in 2008 we again see that the tight balance between supply and demand in agricultural raw materials has had a serious impact on prices. The rising prices for feed raw materials are having an impact on the production costs of livestock farmers. This explains the ongoing R&D commitment of Nutreco to explore alternative and less expensive raw material options and to increase the efficiency of feed formulations.”
- Revenue of EUR 2,354.5 million; an increase of 10.8% compared with the first half of 2011, of which 4.7% is organic volume growth
- EBITA Animal Nutrition increased by 22.2% and EBITA Fish Feed up by 24.6%
- Expansion of operations in Brazil by increased shareholding in Fri-Ribe and acquisition of farm mineral company Bellman
- Excellent performance in China both in Animal Nutrition and Fish Feed; strong growth in Shihai fish feed business (acquired in October 2011)
- Earnings per share from continuing operations increased by 45.9%
- Sale of Hendrix substantially completed, gain on sale of EUR 18.9 million
- 2012 interim dividend of EUR 0.60 (2011: EUR 0.50) in cash or shares
- New Executive Board in place from August 2012
- Outlook: In an uncertain environment and based on current trading conditions, Nutreco expects full year EBITA before exceptional items of approximately EUR 260 million (2011: EUR 231.6 million)
(EUR x million) | H1 2012 | H1 2011 | D% |
Revenue | 2,354.5 | 2,124.5 | 10.8 |
EBITDA before exceptional items from continuing operations | 131.9 | 109.9 | 20.0 |
EBITA: | |||
Animal Nutrition | 73.1 | 59.8 | 22.2 |
Fish Feed | 44.0 | 35.3 | 24.6 |
Corporate | -13.5 | -11.5 | 17.4 |
EBITA before exceptional items from continuing operations | 103.6 | 83.6 | 23.9 |
Result after tax from continuing operations | 62.6 | 42.7 | 46.6 |
Result after tax from discontinued operations | 19.6 | 2.2 | |
Total result for the period | 82.2 | 44.9 | 83.1 |
Basic earnings per share from continuing operations (EUR) | 1.78 | 1.22 | 45.9 |
Dividend per ordinary share (EUR) | 0.60 | 0.50 | 20.0 |
Agenda 2012
- Develop higher margin portfolio of nutritional solutions
- Focus on Premix and Feed Specialties and Fish Feed
- Continue drive for operational excellence in mature markets
- Grow in geographies Latin America, Russia, China and Southeast Asia
- Start implementing the actions from Sustainability Vision 2020
Ambition 2016
Nutreco’s ‘Ambition 2016 – driving sustainable growth’ is to grow and improve profitability by providing innovative and sustainable nutritional solutions for its customers and is expected to result in an EBITA of EUR 400 million by 2016. This will be realised by focusing on a higher margin portfolio of nutritional solutions such as premixes, feed specialties and fish feed, and by expanding into the growth geographies of Latin America, Russia, China and Southeast Asia, which will see the largest increases in both production and consumption of animal protein food products.
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