Südzucker Sees Group Revenues, Profits Decline In Full-Year 2018/19
Südzucker has posted a 3.2% decline in revenues in full-year 2018/19, with the business posting revenue of €6.75 billon for the period.
The sugar business saw a significant decline in operating profit for the period, however, to €25 million, down from €445 million the previous year.
The group said that the performance was impacted by the 'highly volatile' sugar and ethanol markets.
The group announced a restructuring plan in February, due to a change in outlook for the global and EU sugar market.
'High Degree Of Uncertainty'
It said that guidance for full year 2019/20 is 'marked by a high degree of uncertainty', with the business anticipating revenues of between €6.7 billion and €7.0 billion for the year.
'Against this background of an ongoing difficult market environment, Südzucker expects another operating loss in the sugar segment of €200 to €300 million,' the business said.
'Südzucker estimates a significant revenue sales driven earnings improvement from October 2019, the beginning of the new sugar marketing year.'
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: European Supermarket Magazine.