Press release
DSM reports Q1 2017 results
Heerlen, NL, 02 May 2017 07:00 CEST
Highlights
- DSM reports a very strong first quarter
- Sales up 13% to €2,159m, with 9% organic growth
- Adjusted EBITDA up 17% to €345m
- ROCE up 150 bps to 11.3%
- Cash from operating activities up 43% to €196m
- Net profit up 75% to €149m
- Outlook maintained
Key figures and indicators
| in € million | Q1 2017 | Q1 2016 | % change | Volume | Price/mix | FX | Other |
|---|---|---|---|---|---|---|---|
| Sales | 2,159 | 1,913 | 13% | 6% | 3% | 3% | 1% |
| Nutrition | 1,398 | 1,250 | 12% | 5% | 3% | 4% | 0% |
| Materials | 701 | 600 | 17% | 11% | 3% | 1% | 2% |
| Adjusted EBITDA | 345 | 296 | 17% | ||||
| Nutrition | 257 | 225 | 14% | ||||
| Materials | 113 | 95 | 19% | ||||
| EBITDA | 334 | 271 | |||||
| ROCE (%) | 11.3% | 9.8% |
CEO statement
Feike Sijbesma, CEO/Chairman of the DSM Managing Board, commented: "We are pleased to report a very good start to the year, with continued positive momentum in all businesses as we execute on our mid-term strategic and financial ambitions. Nutrition continued to deliver on its objectives with good growth from Animal and Human Nutrition. Materials demonstrated once again the benefit of its focus on specialties. Both businesses achieved strong volume growth, well above the market.
Notwithstanding the current global socio-economic volatility, we are confident that we will be able to deliver against our full-year objectives given our focus on improving our financial performance through our growth initiatives and our extensive and ambitious profit improvement programs. At the same time we continue to manage our business for the longer term by pursuing our innovation-driven growth strategy.”
Outlook 2017
DSM aims to deliver high-single digit percentage Adjusted EBITDA growth and high double-digit basis point ROCE growth in line with the targets set out in its Strategy 2018.
Key figures & indicators
| in € million | Q1 2017 | Q1 2016 | % change | YTD Q1 2017 | YTD Q1 2016 | % change |
|---|---|---|---|---|---|---|
| Sales - Continuing Operations | 2,159 | 1,913 | 13% | 2,159 | 1,913 | 13% |
| Adjusted EDITDA | 345 | 296 | 17% | 345 | 296 | 17% |
| Nutrition | 257 | 225 | 14% | 257 | 225 | 14% |
| Materials | 113 | 95 | 19% | 113 | 95 | 19% |
| Innovation Center | 1 | 1 | 1 | 1 | ||
| Corporate Activities | -26 | -25 | -26 | -25 | ||
| Adjusted EBITDA margin | 16.0% | 15.5% | 16.0% | 15.5% | ||
| EBITDA | 334 | 271 | 334 | 271 | ||
| Adjusted EBIT | 222 | 185 | 222 | 185 | 20% | |
| EBIT | 206 | 160 | 206 | 160 | ||
| Capital Employed | 7,914 | 7,456 | ||||
| Average Capital Employed | 7,901 | 7,505 | ||||
| ROCE (%) | 11.3% | 9.8% | ||||
| Effective tax rate | 18.0% | 18.5% | ||||
| Adjusted net profit | 163 | 109 | 50% | 163 | 109 | 50% |
| Net profit - Total DSM | 149 | 85 | 75% | 149 | 85 | 75% |
| Adjusted net EPS | 0.92 | 0.60 | 53% | 0.92 | 0.60 | 53% |
| Net EPS - Total DSM | 0.84 | 0.46 | 0.84 | 0.46 | ||
| Cash Flow | 196 | 137 | 43% | 196 | 137 | 43% |
| Capital Expenditures1 | 130 | 99 | 130 | 99 | ||
| Net debt | 2,081 | 2,0702 |
1) Cash, net of customer funding
2 ) Year-end 2016
In this report:
a) ‘Organic sales growth’ is the total impact of volume and price/mix;
b) ‘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
media.contacts@dsm.com
Dave Huizing
Vice President Investor Relations
+31 45 578 2864
investor.relations@dsm.com
Lieke de Jong-Tops
Senior Communications Manager
+31 45 578 2420
Dave Huizing
Vice-President Investor Relations
+31 45 578 2864