Nordzucker Post 1/2025 - 23 January 2025

Falling prices reflected in operating result after three quarters

As expected, the Nordzucker Group closed the first nine months of the 2024/25 financial year on 30 November 2024 with a year-on-year decline in earnings. Significantly lower sugar prices, particularly at the start of the new sugar marketing year on 1 October, and higher costs had a significant impact on earnings.

Due to developments in the first six months, group revenues after the third quarter of 2024/25 were roughly at the level of the same period of the previous year (2,178 million Euro; 2,172 million Euro). However, operating profit (EBIT) fell to 230 million Euro, well below the figure of 380 million Euro for the same period of the previous year.

“As expected, the effects of this sharp decline in sales prices, coupled with rising costs, are now also reflected in the operating result with the start of the new sugar year. Nevertheless, we are confident that we will close the full year 2024/25 with a clearly positive result,” says CFO Alexander Bott.

Fluctuating price cycles are part of our business, and it is in these phases in particular that Nordzucker benefits from its financial stability, which is characterised by a high equity ratio and low debt. We are currently monitoring the markets very closely and have already taken appropriate measures to take account of these market developments; these include, among other things, intensifying our already very successful excellence programmes and implementing a programme to reduce our operating expenses. In view of market developments, we can hardly rule out a negative result for the coming financial year 2025/26,” Alexander Bott continued.