German Cropenergies H1 op profit hit by flood damages

Oct 9, 2013 - German bioethanol producer Cropenergies (ETR:CE2) suffered a 30% drop in first-half operating profit due to the floods that engulfed Germany in June and higher raw material prices.

Operating profit slid to EUR 26 million (USD 35.1m) in the six months to August, Cropenergies said on Wednesday.

Revenue grew 16% to EUR 372 million thanks to strong demand for bioethanol.

Cropenergies produced 377,000 cubic metres of bioethanol in the March-August period even though production in Zeitz, in eastern Germany, had to be temporarily suspended due to the floods.

The company confirmed its target for revenue to grow 10%-20% and operating profit to fall to between EUR 40 million and EUR 50 million in the current fiscal year from EUR 87 million in the prior year period.

Cropenergies, based in Mannheim, is a subsidiary of sugar maker Suedzucker (ETR:SZU).

(EUR 1 = USD 1.352)

Choose your newsletter by Renewables Now. Join for free!