Interim Report Q1 2012/13

1/16/2013 2:01 AM EST

Chr.Hansen Holding A/S
Quarterly report

Interim Report Q1 2012/13

Hoersholm, 2013-01-16 08:01 CET (GLOBE NEWSWIRE) -- 

Company announcement no. 02/2013

“Chr. Hansen Group delivered organic revenue growth of 7% (excluding carmine
price effect) in Q1 2012/13. The solid momentum in the Cultures & Enzymes
Division continued with 10% organic growth driven by our innovative product
portfolio. The Health & Nutrition Division also delivered solid organic growth
of 9% while sales in the Natural Colors Division as expected were soft,
primarily driven by the lower carmine prices and volumes. 

Our operating profit continued to grow faster than revenue and our
profitability also increased with an EBIT margin of 26.7% compared to 24.5% in
Q1 last year. 

Our outlook for 2012/13 remains unchanged and we expect organic revenue growth
between 8-10% (excluding carmine price effect) and an EBIT margin before
special items and impairments above 2011/12” says CEO Lars Frederiksen. 

Highlights Q1 2012/13

  -- Revenue EUR 179 million, up 7% compared to Q1 2011/12. Organic growth 5%
     (7% adjusted for lower sales prices to reflect lower raw material prices
     for carmine)
  -- EBIT EUR 48 million, up 16% compared to Q1 2011/12. EBIT margin 26.7%, up
     from 24.5% in Q1 2011/12
  -- Profit for the period EUR 32 million compared to EUR 26 million in Q1
     2011/12
  -- Diluted earnings per share from continuing operations improved by 26% to
     EUR 0.24 from EUR 0.19 in Q1 2011/12
  -- Capital expenditure EUR 14 million, corresponding to 7.8% of revenue
  -- Research & Development expenditures incurred EUR 12 million,
     corresponding to 6.7% of revenue
  -- Net working capital EUR 137 million equal to 19.3% of revenue compared to
     EUR 128 million or 19.5% of revenue at 30 November 2011
  -- Free cash flow negative with EUR 27 million compared to negative EUR 23
     million in Q1 2011/12
  -- Net interest-bearing debt EUR 420 million corresponding to 1.7 times EBITDA
     compared to 1.8 times EBITDA at 30 November 2011

Outlook 2012/13

The outlook for 2012/13 remains unchanged compared to the announcement of 31
October 2012. Organic revenue growth, excluding effect on sales prices from
change in raw material prices for carmine, is expected to be in the range of
8-10% while organic revenue growth, including the effect from change in raw
material prices for carmine, is expected to be in the range of 7-9%. The EBIT
margin before special items and impairments is expected to be above last year.
Free cash flow before acquisitions and divestments is expected to be at the
same level as in 2011/12.