Press release

DSM reports Q3 2016 results

Heerlen, NL, 03 Nov 2016 07:00 CET


  • DSM reports another strong quarter
  • Group sales up at €1,998m, with 3% organic growth, and EBITDA up 13% to €323m
  • Nutrition: 5% organic sales growth, EBITDA up 8%
  • Materials: 5% volume growth, EBITDA up 16%
  • Group ROCE improved to 10.6% (end Q3 2015: 7.9%) driven by higher EBIT
  • Net profit up 38% to €146m (€322m after exceptionals, including proceeds from Patheon IPO)
  • Outlook maintained

Key figures and indicators (continuing operations)

in € millionQ3 2016Q3 2015% changeVolumePrice/mixFXOther
ROCE (%)110.67.9     

1) January until September

CEO statement

Feike Sijbesma, CEO/Chairman of the DSM Managing Board, commented: “We are pleased to report another quarter of strong operational and financial progress. This was driven by both Materials and Nutrition, reflecting the progress we are making on delivering on our Strategy 2018 through our growth initiatives as well as ambitious improvement and cost savings actions.

Materials had a quarter of strong volume growth driven again by specialties, enhanced by particularly high margins as a result of a very favorable product mix and pro-active margin management, while still benefiting from low input costs. Nutrition delivered good EBITDA growth, despite additional costs in the quarter. Animal Nutrition benefited from increased vitamin prices, with solid volume growth against a tougher prior year comparison. Human Nutrition delivered strong volume growth.

While the global macro-economic environment remains a concern, we continue to expect that for the full year 2016, we will deliver ahead of our medium-term goals, given the strong ongoing performance of our business, underpinned by our continued focus on the improvement programs.”

Outlook 2016 maintained

DSM continues to expect to deliver full-year 2016 results ahead of the medium-term targets set out in its Strategy 2018, with a mid-teens EBITDA growth and an increase in ROCE of over 200 basis points.

Key figures & indicators

in € millionQ3 2016Q3 2015% changeVolumePrice/mixFXOther
Sales - Continuing Operations1,9981,9453%3%0%0%0%
Innovation Center43422%2%0%0%0%
Corporate Activities1819     
Discontinued operations0157     
in € millionJan - Sep 2016Jan - Sep 2015% changeVolumePrice/mixFXOther
Sales - Continuing operations5,9055,7962%5%-1%-2%0%
Innovation Center12611510%10%0%-1%1%
Corporate Activities5755     
Discontinued operations01,213     
in € millionQ3 2016Q3 2015% changeJan - Sep 2016Jan - Sep 2015% change
Sales - Continuing Operations1,9981,9453%5,9055,7962%
Innovation Center43422%12611510%
Corporate Activities1819 5755 
Discontinued Operations0157 01,213 
EBITDA - Continuing Operations32328713%94781416%
Innovation Center10 2-8 
Corporate Activities-27-28 -78-88 
Discontinued Operations03 094 
EBITDA margin - Continuing Operations16.2%14.8% 16.0%14.0% 
EBIT - Continuing Operations20517021%60145831%
Capital Employed - Continuing Operations1   7,6207,558 
Average Capital Employed1   7,5617,757 
ROCE - Continuing Operations (%)2   10.6%7.9% 
Profit for the period, before exceptional items - Continuing Operations14610638%39028537%
Profit for the period, after exceptional items - Total DSM32233 54263 
Net EPS before exceptional items - Continuing Operations0.810.5937%2.171.6135%
Net EPS after exceptional items - Total DSM1.820.19 3.040.33 
Cash Flow - Continuing Operations325300 644487 
Capital Expenditures - Continuing Operations3128113 305321 
Net debt1   2,0542,3214 

1) Before reclassification to held for sale
2) ROCE calculated based on weighted average capital employed
3) Cash, net of customer funding
4) Year-end 2015

In this report:
a) 'Organic sales growth’ is the total impact of volume and price/mix;
b) ‘Discontinued operations’ comprises net sales and operating profit (before depreciation and amortization) of DSM Fibre Intermediates and DSM Composite Resins up to and including 31 July 2015;
c) ‘Total Working Capital’ refers to the total of ‘Operating Working Capital’ and ‘non-Operating Working Capital’.

The complete version of this press release with accompanying financial statements and the Presentation to Investors are below in PDF format.

For more information

Lieke de Jong-Tops

Senior Communications Manager
+31 45 578 2420

Dave Huizing

Vice President Investor Relations
+31 45 578 2864

Media Relations

+31 45 578 2420

Investor Relations

+31 45 578 2864