Manheim, July 10 - Südzucker AG Mannheim/Ochsenfurt consolidated revenues rose 10 % to Euro 1.47 (last year: 1.34) billion and operating profit climbed 18 % to Euro 63 (last year: 54) million in the first quarter (March 1 to May 31, 2008). The results were in line with expectations. Südzucker confirmed the forecast for the current 2008/09 financial year, projecting revenues of between Euro 5.6 and 5.8 (last year: 5.8) billion and an operating profit of between Euro 230 and 260 (last year: 233) million.
First-quarter revenue growth was generated almost equally by the sugar and special products segments, but the consolidated operating profit improvement originated exclusively in the sugar segment. The special products segment was hit by higher commodity prices, especially the starch division. The increases have yet to fully flow through to the bioethanol division's results. The fruit segment was able to keep its operating profit steady despite slightly lower revenues and higher raw material prices.
Income from operations in the first quarter came in at € 181.2 (last year: 30.2) million. This consists of the operating profit of € 63.2 (last year: 53.6) million plus the results of restructuring and special items of € 118.0 (last year: -23.4) million stemming from the quota surrendered to the restructuring fund. Earnings per share rose to € 0.57 (last year: 0.03).
The workforce shrank to 18,043 (last year: 19,092), mainly because of sugar factory closures.
On July 29, 2008, the executive and supervisory boards will recommend to the annual general meeting that a dividend of € 0.40 (last year: 0.55) per share be distributed.
About the Südzucker Group
With its three segments - sugar, special products and fruit - Südzucker is a one of the food industry's leading companies. In the traditional sugar business, the group is the world market leader, with sugar factories and refineries, extending from France in the west via Belgium, Germany and Austria, through to Poland, the Czech Republic, Slovakia, Romania, Hungary and Moldavia in the east. The special products segment, consisting of the functional food (Beneo Group), starch, chilled/frozen products (Freiberger), bioethanol and portion packs divisions, conducts business in rapidly expanding markets. In the fruit segment, the group operates internationally, is the world market leader for fruit preparations and a leading supplier of fruit juice concentrate in Europe.
In 2007/08, the group employed 18,600 persons and generated revenues of € 5.8 billion.