Copenhagen, May 27 - Food ingredients and enzymes maker Danisco has raised its operating profit forecast for the year just ended on the back of better than expected fourth-quarter sales, lifting its shares 18 percent.
The company also announced on Wednesday in a statement that its chairman would step down.
The Danish firm, which is scheduled to release results on June 24, said in a statement it now expects to report operating profits for the year ended April 30 of between 1.23 billion and 1.25 billion Danish crowns ($231-$234 million).
In March it had cut the forecast to about 1.15 billion crowns due to weaker demand, but the company's chief executive, Tom Knutzen, said its outlook had been too cautious.
Analysts had on average been forecasting 1.1 billion crowns according to Reuters Estimates.
"We've had a good spring season. The sun's been out and ice cream sales have gone up. However, it (the upgrade) is not driven by any particular item. Things just went better than we planned for in general," Knutzen said.
"We're not using this to be overly optimistic. Looking forward there's still a considerable uncertainty in the market."
Danisco sells enzymes and ingredients used to produce items such as ice cream, soft drinks, jeans, detergents and biofuels, after it sold its sugar business in March.
The company said on Wednesday its preliminary 2008/09 sales figure was 13 billion crowns.
In the previous year Danisco reported an operating profit of 1.73 billion crowns. Danisco Sugar is not included in the results for March and April this year, a company spokesman said.
Shares in the company were up 18 percent at 215 crowns at 1213 GMT, when the Copenhagen market index was marginally higher <.OMXC20>.
"This was very unexpected. It's been a while since we've seen things going that way for Danisco," Sydbank trader Ole Jensen said.
Danisco also said on Wednesday the chairman of its board of directors, Anders Knutsen, would not stand for re-election at its annual meeting in August.
"Jorgen Tandrup, the board's current deputy chairman, has expressed his willingness to assume the position as chairman," it said. ($1=5.339 Danish crowns)