Suedzucker Q1 earnings slump 45% on high costs, low sugar prices
11/07/2024 06:05
HAMBURG, July 11 (Reuters) - Europe's largest sugar
producer Suedzucker SZUG.DE on Thursday posted a 45% fall in
quarterly earnings as it was hit by higher costs and lower sugar
prices.
Suedzucker reported operating profit in the first quarter to
May 31 of its 2024/25 fiscal year of 155 million euros ($167.93
million), down from 282 million euros in the same quarter last
year.
The sugar, CropEnergies biofuel and starch segments all
recorded a decline in earnings, it said.
Suedzucker warned in May that high costs ranging from
energy, raw materials, logistics to packaging combined with weak
sugar markets would cause a fall in first quarter earnings. The
company warned on Wednesday that its second quarter earnings
would also decline.
Sugar futures hit 18-month lows in May on expectations of
large sugar harvests in Brazil but have since recovered
slightly.
($1 = 0.9230 euros)
(Reporting by Michael Hogan, editing by Rachel More)
((michael.j.hogan@thomsonreuters.com; +49 172 671 36 54;
Reuters Messaging:
michael.hogan.thomsonreuters.com@reuters.net))