Enzymes maker Novozymes' Q2 profit drops more than expected (updated)

Chr Hansen Holding A/S

09/08/2023 07:31

(Adds detail on results, background from paragraph 2)
       COPENHAGEN, Aug 9 (Reuters) - Danish industrial enzymes
maker Novozymes  NZYMb.CO  on Wednesday reported a bigger fall
than expected in second-quarter profit and lowered its full-year
sales guidance.
        Operating profit landed at 865 million crowns ($127
million) against a year-earlier 1.11 billion and a mean forecast
of 965 million in a poll of analysts published by Novozymes. 
  
    The group narrowed the range for its full-year sales growth
expectation to 4-6% from 4-7%. It said second-quarter organic
sales growth was 2%, driven by stronger sales at its Bioenergy
division. 
        "We continue to expect a stronger second half supported
by pipeline innovation, increased market penetration, and a
softer comparator," CEO Ester Baiget said in a statement. 
  
        Novozymes in December agreed to take over Danish peer
Chr. Hansen  CHRH.CO , with the companies expecting to complete
the deal in the fourth quarter.  
    Chr. Hansen focuses on enzymes and microbials for the food
sector while Novozymes' largest business areas include enzymes
for household products, food and beverages and biofuels.
    ($1 = 6.7881 Danish crowns)

 (Reporting by Johannes Birkebaek, editing by Anna Ringstrom)
 ((Johannes.Birkebaek@thomsonreuters.com;))