Novozymes: strong full-year 2010 performance and exciting outlook for 2011 , Novozymes

Release Date: 2011-01-21

Sales and earnings grew strongly in 2010. Overall demand was high in the enzyme business, and costs were kept under control. For 2011, sales are expected to grow by 7–10% in DKK, local currency (LCY) and organically. We expect EBIT to grow by 8–11%, and we expect an EBIT margin of 21–22%, including an investment of DKK 150 million in additional initiatives in R&D and business-building activities. Net profit is expected to grow by 8–11%, with investments of around DKK 1,400 million and free cash flow before acquisitions of DKK 900–1,000 million. The outlook for 2011 excludes any potential impact from the EMD/Merck Crop BioScience acquisition.

“It has been a very good year for Novozymes, and I can’t be anything but very pleased that already in 2010 we were able to live up to the long-term financial targets set at the beginning of 2009. We performed very well in terms of sales, earnings, cash flow, and sustainability," says Steen Riisgaard, President & CEO. "I'm also delighted that, in late December, we signed an agreement with the intention to acquire EMD/Merck Crop BioScience in the exciting and promising field of agricultural biologicals. We expect continued positive sales growth in 2011, and although we will be stepping up our activity levels, we still envisage a very healthy profit margin in 2011 above our long-term target.”

Type:	NORMAL
Company:	Novozymes
Country:	Denmark