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“Lower quarterly results for DSM” | Financial

According to the consensus, turnover amounts to more than 2.1 billion euros, against nearly 2.3 billion euros a year earlier. The adjusted operating result (EBITDA) provides an average amount of 390 million euros. That was 438 million euros a year ago.

The lower results are the result of a weaker performance in the company’s materials division, including many automotive customers who have been severely hit by the corona crisis. For that division, a turnover of EUR 498 million is forecast against EUR 710 million. The EBITDA at Materials is estimated on average at EUR 70 million compared to EUR 135 million last year. In the Nutrition section, the results should be slightly higher than a year earlier.

Acquisition of Erber Group

In June, it was announced that DSM will acquire the Austrian Erber Group for 980 million euros, which deals with natural food supplements, feed and food analysis and crop protection. The acquisition excludes two smaller parts of Erber. The activities to be acquired by the company Biomin and Romer Labs account for an annual turnover of 330 million euros and have 1,200 employees and facilities worldwide.

At the time, DSM also said it would discontinue its ongoing 1 billion euro share buyback program announced in February last year in connection with the corona crisis and the acquisition of Erber. To date, DSM had repurchased 745 million euros of its own shares under that program.

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