Natural ingredients drives Chr Hansen profits
Danish firm Chr Hansen has attributed a 10.7% increase in full-year operating profits to increased d…Danish firm Chr Hansen has attributed a 10.7% increase in full-year operating profits to increased demand for natural food ingredients.
Cultures, enzymes and colours manufacturer Chr Hansen said that it was boosted by a trend towards natural food additives in its core food, health and animal feed markets. A rising middle class in emerging markets also helped to offset slower growth in Europe, which accounts for around half of the company’s business.
Operating profit for the year reached €131.3 million on revenue of €699 million.
Nonetheless, Lars Frederiksen, Chr Hansen’s chief executive provided a cautious forecast for 2012/13, stating that the firm could experience weaker growth in the first quarter ad continued challenges in Europe resulting from the euro zone debt crisis. Frederiksen said that the firm expects to deliver organic growth of around 8-10%.
Frederiksen insisted that the firm remains committed to probiotics after being forced to write off €4 million from an immunity clinical trial which delivered inconclusive results. The trial produced insufficient documentation to obtain an EU health claim.
