Nutrecos fish feed revenues up 21%
Highlights from Nutrecos Q3 report:
• Revenue Q3 2012 EUR 1,480 million; an increase of 13% from Q3 2011
• Animal Nutrition revenues up 7% due to higher feed prices as a result of rising raw materials prices. Volumes down 3% due to tough market conditions mainly in Spain
• Fish Feed revenues increased by 21% driven by 15% total volume growth of which 6% is organic and a 9% contribution from the Shihai acquisition
• Solid profits in all segments except for Meat and Other which declined as a result of higher feed costs
• Acquisition in Ecuador takes Nutreco to global top 3 shrimp feed producer
• Outlook: In an uncertain environment and based on current trading conditions, Nutreco confirms its outlook for the full year and expects EBITA before exceptional items to be approximately EUR 260 million (2011: EUR 232 million).
Knut Nesse, Nutreco CEO says in a comment: "I am satisfied with the overall results in the face of tough economic conditions and against a background of higher raw material prices affecting our customers. With innovative and sustainable feed solutions we are supporting our customers to cope in these challenging times.
He adds: I am confident we will achieve a full year EBITA before exceptional items of approximately EUR 260 million, a double-digit improvement compared to 2011."
Fish Feed The revenue in Fish Feed was 20.6% higher than in the third quarter of 2011 at EUR 625 million. The total volume effect was an increase of 15.3%. Organic volume growth of 6.3% was mostly due to strong demand for salmon feed in Chile as well as non-salmonid feed. The growth from acquisitions was 9.0%, related to the Shihai fish and shrimp feed business in China. The price effect was -1.1% and the exchange rate effect was 6.3%.
The volume share of fish feed for non-salmonid species is now 35% compared with 26% in the same quarter last year. The operating result in Q3 was significantly higher than the same quarter of 2011. We have substantially increased our R&D spend mainly to support the growing need for more sustainable feed for sub-tropical fish species and shrimp. Our new Chinese research facility will begin the first shrimp feed trials before the end of the year.
