HEERLEN, Netherlands, November 3, 2016 /PRNewswire/ --
- DSM reports another strong quarter
- Group sales up at €1,998m, with 3% organic growth, and EBITDA up 13% to €323m
- Nutrition: 5% organic sales growth, EBITDA up 8%
- Materials: 5% volume growth, EBITDA up 16%
- Group ROCE improved to 10.6% (end Q3 2015: 7.9%) driven by higher EBIT
- Net profit up 38% to €146m (€322m after exceptionals, including proceeds from Patheon IPO)
- Outlook maintained
Key figures and indicators (continuing operations)
in EUR million Q3 2016 Q3 2015 % Change Volume Price/mix FX Other Sales 1,998 1,945 3% 3% 0% 0% 0% Nutrition 1,303 1,253 4% 3% 2% -1% 0% Materials 634 631 0% 5% -5% -1% 1% EBITDA 323 287 13% Nutrition 231 213 8% Materials 118 102 16% ROCE (%)  10.6 7.9
 January until September
Feike Sijbesma, CEO/Chairman of the DSM Managing Board, commented: "We are pleased to report another quarter of strong operational and financial progress. This was driven by both Materials and Nutrition, reflecting the progress we are making on delivering on our Strategy 2018 through our growth initiatives as well as ambitious improvement and cost savings actions.
Materials had a quarter of strong volume growth driven again by specialties, enhanced by particularly high margins as a result of a very favorable product mix and pro-active margin management, while still benefiting from low input costs. Nutrition delivered good EBITDA growth, despite additional costs in the quarter. Animal Nutrition benefited from increased vitamin prices, with solid volume growth against a tougher prior year comparison. Human Nutrition delivered strong volume growth.
While the global macro-economic environment remains a concern, we continue to expect that for the full year 2016, we will deliver ahead of our medium-term goals, given the strong ongoing performance of our business, underpinned by our continued focus on the improvement programs."
Outlook 2016 maintained
DSM continues to expect to deliver full-year 2016 results ahead of the medium-term targets set out in its Strategy 2018, with a mid-teens EBITDA growth and an increase in ROCE of over 200 basis points.
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Today DSM will hold a conference call for media from 08:00 to 08:30 and a conference call for investors and analysts from 09:00 to 10:00. Details on how to access these calls can be found on the DSM website, http://www.dsm.com.
DSM - Bright Science. Brighter Living.™
Royal DSM is a global science-based company active in health, nutrition and materials. By connecting its unique competences in life sciences and materials sciences DSM is driving economic prosperity, environmental progress and social advances to create sustainable value for all stakeholders simultaneously. DSM delivers innovative solutions that nourish, protect and improve performance in global markets such as food and dietary supplements, personal care, feed, medical devices, automotive, paints, electrical and electronics, life protection, alternative energy and bio-based materials. DSM and its associated companies deliver annual net sales of about €10 billion with approximately 25,000 employees. The company is listed on Euronext Amsterdam. More information can be found at http://www.dsm.com.
Forward Looking Statement
This press release may contain forward-looking statements with respect to DSM's future (financial) performance and position. Such statements are based on current expectations, estimates and projections of DSM and information currently available to the company. DSM cautions readers that such statements involve certain risks and uncertainties that are difficult to predict and therefore it should be understood that many factors can cause actual performance and position to differ materially from these statements. DSM has no obligation to update the statements contained in this press release, unless required by law.
SOURCE Royal DSM NV