Suedzucker slides in early trade after dividend cut

Suedzucker AG

19/03/2025 07:27

** Shares of Germany's Suedzucker SZUG.DE are down 3.1% in early Frankfurt trade after the sugar producer cut its dividend and kept its outlook unchanged on Tuesday

** Suedzucker said it will propose a dividend of 0.20 euros ($0.2185) per share for the 2024/25 financial year compared to 0.90 euros per share in the prior year

** That compares with a mean estimate of 0.21 euros, according to LSEG data

** "The dividend cut was expected and investors should in the course turn attention to better earnings underpin current uptrend. Though some investors might question, why SZU did not raise its outlook," a local trader says

** Suedzucker confirmed its 2025/26 guidance, expecting a moderate decline in group revenue and an EBITDA in the range of 525-675 million euros

($1 = 0.9152 euros)

 (Reporting by Marleen Kaesebier)

 ((Marleen.kaesebier@thomsonreuters.com))