Danish excipient manufacturer Chr. Hansen reported a drop in sales for the group of 8 per cent to DKK 2,191 million for the first six months of the year ended 28 February 2003.
Despite this, the EBITA margin rose from 9.8 per cent to 12.4 per cent, with figures showing DK202 million (€27.2m).Exchange rates dropped 12 per cent.
The company reported that low organic growth reflected "a temporary stagnation in the ingredients market resulting from inventory adjustments and the negative trend of the global economy".
The outlook for the fiscal year 2002/03 has sales forecast at DK3.4-3.5 billion, owing to continued falling exchange rates. But the company reported that the EBITA forecast for the full year remains the same, and is still expected to be higher than the previous year.
Overall, sales at the group decreased by 8 per cent to DK2,191 million, with organic growth of 2 per cent. Chr. Hansen Holding recorded a loss of DK1 million against net income of DK57 million in 2001/02.
Income from ordinary operations before tax was DK107 million compared to DK138 million in 2001/02 as a result of the sharply rising pipeline costs in ALK-Abelló, the allergy vaccines unit, said Chr. Hansen. Sales in ALK-Abelló grew by 4 per cent to DK567 million, with organic growth at 6 per cent.