DSM-Firmenich, the Dutch nutrition, health, and bioscience company, has announced that its net profit for the first half of the year has increased. However, the company expects a decline in adjusted Ebitda for the full year, citing no significant improvement in business conditions in the second half.
Strong financial performance
DSM-Firmenich revealed that its pretax profit reached €2.38 billion ($2.61 billion), a significant increase from €458 million the previous year. Sales, on a pro forma basis, amounted to €6.15 billion, down from €6.5 billion. According to IFRS basis sales, the figures stood at €4.47 billion for the period. Pro forma adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) were €929 million, compared to €1.18 billion in the same period last year.
Outlook for the year
Following the merger of Royal DSM and Firmenich, DSM-Firmenich predicts its adjusted EBITDA for the full year to range between €1.8 billion and €1.9 billion on a pro forma basis. This is lower than the €2.28 billion recorded in 2022. The company has estimated a negative effect of around €400 million related to vitamins and a negative foreign exchange effect of approximately €100 million for the year.
For more information, contact Anthony O. Goriainoff