Dutch DSM swings to €77m Q4 net loss, net sales up 5%

26 February 2014 06:58 Source:ICIS News

SINGAPORE (ICIS)--DSM has incurred a €77m fourth-quarter 2013 net loss after exceptional items, a reversal of the €18m profit recorded in the previous corresponding period, the Dutch specialty chemicals firm said on Wednesday.

Net sales in the last three months of 2013, however, increased 5% year on year to €2.38bn, the company said in a statement.

Pre-exceptional net profit from continuing operations, however, increased 44% to €101m, it said.

Earnings before interest, tax, depreciation and amortisation (EBITDA) for the December 2013 quarter, however, increased 30% year on year to €316m, boosted by sharp increase in earnings from its performance materials and polymer intermediates segments, it said.

Performance materials generated a 50% year-on-year increase in earnings to €78m, while earnings from polymer intermediates more than doubled to €30m in the fourth quarter of last year.

The company’s nutrition segment, which accounts for the bulk of the company’s operations, posted a 2% increase in fourth-quarter earnings to €208m.

“In Q4 [fourth quarter] all clusters delivered a solid performance despite negative exchange rate effects,” DSM said.

Its full-year 2013 net profit dipped 2.5% to €271m, even as net sales increased 5.3% to €9.62bn, the company said.

Pre-exceptional net profit from continuing operations last year increased 11% to €497m from 2012.

EBITDA in 2013 grew 18.4% to €1.31bn, with operating profit registering a 19.5% increase to €759m, DSM said.

By Pearl Bantillo