Press Release
November 3, 2015
DSM reports Q3 2015 results
Sales up 8%, driven by 7% organic growth in Nutrition and foreign exchange.
Heerlen, NL, 03 Nov 2015 07:15 CET
Highlights
- Sales up 8%, driven by 7% organic growth in Nutrition and foreign exchange
- Solid volume growth in Human Nutrition; very strong volume growth in Animal Nutrition
- Nutrition EBITDA: negative impact of vitamin E and Swiss franc largely offset
- Performance Materials EBITDA: improved on lower input costs and cost savings despite soft sales
- Strong operating cash flow of €300 million
- 2015 outlook maintained
Key figures & indicators
| Q3 2015 | Q3 2014 | YoY | in € million | Volume | Price/mix | Exch. rate | Other |
|---|---|---|---|---|---|---|---|
| Group | |||||||
| 1,945 | 1,794 | 8% | Sales | 2% | -1% | 6% | 1% |
| 287 | 281 | 2% | EBITDA | ||||
| Nutrition | |||||||
| 1,253 | 1,091 | 15% | Sales | 6% | 1% | 6% | 2% |
| 213 | 225 | -5% | EBITDA | ||||
| Performance Materials | |||||||
| 631 | 638 | -1% | Sales | -3% | -5% | 7% | 0% |
| 102 | 87 | 17% | EBITDA |
CEO statement
Commenting on the results, Feike Sijbesma, CEO/Chairman of the DSM Managing Board, said: “DSM continued to make good progress in Q3 in both EBITDA and cash generation. These results demonstrate the benefits of our focus on improving our operational performance. We are starting to implement the previously announced €125-150 million cost reduction program for the DSM-wide support functions. Tomorrow at our Capital Markets Day, we will announce our strategy and targets for the coming years, as well as an additional efficiency and cost reduction program in Nutrition.
It is increasingly difficult to predict macro-economic developments. Assuming no major changes in current market conditions for the remainder of this year, we maintain our full year outlook to deliver an EBITDA in 2015 ahead of 2014, the increase mainly driven by positive foreign exchange effects.”
Key figures & indicators
| Q3 2015 | Q3 2014 | +/- | in € million | volume | price/mix | exch. rates | other |
|---|---|---|---|---|---|---|---|
| Net sales | |||||||
| 1,253 | 1,091 | 15% | Nutrition | 6% | 1% | 6% | 2% |
| 631 | 638 | -1% | Performance Materials | -3% | -5% | 7% | |
| 42 | 40 | 5% | Innovation Center | -5% | -1% | 11% | |
| 19 | 25 | Corporate Activities | |||||
| 1,945 | 1,794 | 8% | Total continuing operations | 2% | -1% | 6% | 1% |
| 157 | 529 | Discontinued operations |
| Q3 2015 | Q3 2014 | +/- | in € million | Jan - Sep 2015 | Jan - Sep 2014 | +/- |
|---|---|---|---|---|---|---|
| EBITDA | ||||||
| 213 | 225 | -5% | Nutrition | 616 | 650 | -5% |
| 102 | 87 | 17% | Performance Materials | 294 | 243 | 21% |
| 0 | -4 | Innovation Center | -8 | -15 | ||
| -28 | -27 | Corporate Activities | -88 | -94 | ||
| 287 | 281 | 2% | Total continuing operations | 814 | 784 | 4% |
| 3 | 34 | Discontinued operations | 94 | 94 | ||
| 123 | 132 | -7% | Core net profit (continuing operations) | 340 | 360 | -6% |
| 106 | 113 | -6% | Net profit before exceptional items, continued operations | 285 | 312 | -9% |
| 36 | 93 | -61% | Net profit after exceptional items, total DSM | 65 | 252 | -74% |
| 123 | 132 | -7% | Core net profit (continuing operations) | 340 | 360 | -6% |
| 106 | 113 | -6% | Net profit before exceptional items, continued operations | 285 | 312 | -9% |
| 36 | 93 | -61% | Net profit after exceptional items, total DSM | 65 | 252 | -74% |
| 0.7 | 0.76 | -8% | Core EPS (€/share) | 1.95 | 2.08 | -6% |
| 0.59 | 0.64 | -8% | Net EPS before exceptional items, continuing operations (€/share) | 1.61 | 1.78 | -10% |
| 0.19 | 0.51 | -63% | Net EPS after exceptional items, total DSM (€/share) | 0.33 | 1.41 | -77% |
| 300 | 252 | Cash flow from continuing operations | 487 | 387 | ||
| 113 | 87 | Capital expenditures continuing operations (cash, net of customer funding) | 321 | 269 | ||
| Net debt | 2,395 | 2,420* |
* Year-end 2014
You can find the press release in full, including financial statements, below.