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Corbion N.V.
Earnings Release • Oct 29, 2024
3826_iss_2024-10-29_2a5e5d9c-5ac0-45a1-90ed-c649c5433319.pdf
Earnings Release
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Corbion reports sales growth, profit improvement, and positive free cash flow driven by strong Q3 and upgrades full year guidance
Corbion, the Amsterdam-listed sustainable ingredients company that champions preservation through application of science, today publishes its results for the first nine months of 2023.
Key highlights first nine months 2024:
| Š Organic sales growth: +2.6% | (Q3: +9.2%): | ||||||
|---|---|---|---|---|---|---|---|
| » Volume/mix: +6.1% |
(Q3: +11.1%) | ||||||
| » Price: -3.5% |
(Q3: -1.9%) | ||||||
| Š Continued Operations: | |||||||
| » Sales € 972.9 million | (Q3: € 335.8 million) | ||||||
| » Adjusted EBITDA € 135.7 million | (Q3: € 49.6 million) | ||||||
| » Operating profit € 62.1 million | (Q3: € 28.5 million) | ||||||
| Š Free Cash Flow € 302.1 million, € 50.8 million when excluding divestment proceeds | |||||||
| Š Continued double digit growth in sales and Adjusted EBITDA in Health & Nutrition | |||||||
| Š Continued positive volume/mix development in Functional Ingredients & Solutions | |||||||
- FY 2024 outlook upgrade:
- » Volume/mix growth >5% [previously 2 6%]
- - » Adjusted EBITDA organic growth 22 25% [previously >18%] » Free Cash Flow >€ 60 million [previously >€ 50 million]
- » Volume/mix growth >5% [previously 2 6%]
| YTD | YTD | YTD | YTD | Q3 | Q3 | Q3 | Q3 | |
|---|---|---|---|---|---|---|---|---|
| 2024 | 2023 | growth | Organic | 2024 | 2023 | growth | Organic | |
| € million* | growth | growth | ||||||
| Sales | 972.9 952.3 +2.2% +2.6% | 335.8 310.6 | +8.1% +9.2% | |||||
| Adjusted EBITDA |
135.7 103.4 +31.2% +28.7% | 49.6 | 34.4 +44.2% +42.4% | |||||
| Adjusted EBITDA margin (%) |
13.9% 10.9% | 14.8% 11.1% | ||||||
| Operating profit |
62.1 | 43.9 +41.5% 34.0% | 28.5 | 13.7 +108.0 % |
+101.3% |
*Continued operations
Commenting on today's results, Olivier Rigaud, CEO, stated: "We achieved solid results in the first nine months of 2024, reflecting the fundamental strength of our business. I am happy to report sustained growth in both volume/mix and Adjusted EBITDA, along with strong, positive free cash flow generation. Our restructuring program has advanced well, contributing to improved margins. With this strong performance, highlighted by significant Adjusted EBITDA growth, we, today, upgrade our full-year 2024 guidance.
We saw continuation of the positive momentum in Functional Ingredients & Solutions with strong volume/mix growth in our Food segment, whilst the softness of some Biochemicals markets persists. In line with earlier guidance, pricing has been lower as a result of price reductions following input cost relaxation. In Health & Nutrition, we are experiencing robust double-digit growth in both sales and Adjusted EBITDA, primarily driven by the Nutrition segment (Omega-3 DHA in aquaculture and pet nutrition). In Q3, we have seen double-digit growth in all our segments: Nutrition, Biomedical polymers and Pharma.
The ramp-up phase of our new circular lactic acid plant in Thailand is underway. Lactic acid from the new Thai facility has been successfully qualified and supplied to the joint venture for the production of PLA."