Nordzucker Post 04/2020 - 10 August 2020

Lars Gorissen: The beets are in good shape

Dear Readers,

The rainfall has been well distributed so far, so that currently the water demand of the beets “from hand to mouth” is covered and we currently expect a good average harvest in the Group.

This is in line with our planning and the demand in the EU market. We have planned with a sense of proportion, since the available supply on the EU market is decisive for prices in the EU in addition to the world market development. Which harvest the course of the year will then allow us to produce is a different matter and naturally fluctuates from year to year. Prices in the EU have recently been stable and are significantly higher than in the previous year. World market prices have recovered somewhat from their decline in March.

Our efforts to reduce manufacturing costs as well as sales and administrative expenses and to secure prices largely in good time are paying off. We generated positive operating earnings (EBIT) of Euro 23 million in the first quarter of the 2020/21 financial year. Australia has again made a positive contribution to this result.

We are looking ahead to the upcoming campaign and are preparing the workforce and plants for operations under corona conditions. The aim is to further prevent infections. For everyone personally and for us all together. This is particularly important in the holiday season now beginning.

I am looking forward to reporting to the Annual General Meeting on October 7 about the then somewhat more distant annual financial statements and the current fiscal year. The Annual General Meetings of Nordzucker Holding AG and Nordzucker AG will be held on the same day and, due to the special conditions this year, will be exclusively virtual. Our shareholders will receive the conditions for participation, questions and voting shortly with their invitation.

Stay healthy.

With all good wishes

Yours, Lars Gorissen