DSM Reports Results First Nine Months 2017

HEERLEN, The Netherlands, November 2, 2017 /PRNewswire/ --

Highlights YTD 2017

• Strong performance in Q3, contributing to very good first nine months
• Sales up 9% to €6,456m, with 8% organic growth
• Adjusted EBITDA up 15% to €1,086m, driven by both Nutrition and Materials
• ROCE up 170 bps to 12.3%
• Adjusted Net profit up 29% to €504m
• Total Net profit of €1,603m, including gain on Patheon disposal of €1,250m
• Outlook 2017 unchanged

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Key figures and indicators

   
                                 Jan -     Jan -
    in EUR million           Sept 2017 Sept 2016 % Change Volume Price/mix   FX Other
    Sales                        6,456     5,905       9%     7%        1%   1%    0%
    Nutrition                    4,151     3,848       8%     6%        1%   1%    0%
    Materials                    2,132     1,874      14%     8%        5%   0%    1%
    Adjusted EBITDA (cont.
    operations)[1]               1,086       947      15%
    Nutrition                      786       693      13%
    Materials                      369       330      12%
    EBITDA (cont.
    operations)                  1,032       904
    ROCE (%)                     12.3%     10.6%

^[1]Adjusted EBITDA (and adjusted Net profit) are Alternative Performance Measures (APM's) that reflect continuing operations.

  See page 11 for definition and reconciliation

CEO statement

Feike Sijbesma, CEO and Chairman of the DSM Managing Board, commented:

"We are pleased to report another strong quarter, resulting in a very good performance during the first nine months. Nutrition and Materials once again delivered organic growth rates well above their respective markets, with particularly good volume growth.  

These results demonstrate significantly improved operational and financial performance, well ahead of plan, with all businesses delivering on their ambitious growth initiatives, and we are firmly on track with our cost-reduction and efficiency improvement programs. Furthermore, we successfully divested our share in Patheon ahead of schedule.  

DSM confirms its full year 2017 outlook, despite slightly less favorable currency developments. In addition, with all of these developments ahead of plan we are bringing forward our regular strategic review process for the period beyond 2018 and anticipate communicating the results before mid-year 2018, as announced at our September Investor Event." 

Outlook 2017 unchanged
DSM expects to deliver full-year 2017 results above the targets set out in its Strategy 2018, with an EBITDA growth for the year slightly up from high single-digit to double digit, and with a ROCE increase from double digit basis points to over 100 basis points.

Q3 Highlights 2017

• DSM reports another strong quarter in Q3
• Sales up 7% to €2,136m, with 10% organic growth
• Adjusted EBITDA up 13% to €365m
• Nutrition: 8% organic sales growth; Adjusted EBITDA up 12%
• Materials: 9% volume growth; Adjusted EBITDA up 8%
  

Key figures and indicators

   
    in EUR million           Q3 2017 Q3 2016 % Change Volume Price/mix   FX Other
    Sales                      2,136   1,998       7%     9%        1%  -3%    0%
    Nutrition                  1,373   1,303       5%     9%       -1%  -3%    0%
    Materials                    706     634      11%     9%        5%  -3%    0%
    Adjusted EBITDA (cont.
    operations)[1]               365     323      13%
    Nutrition                    258     231      12%
    Materials                    128     118       8%
    EBITDA (Cont.
    operations)                  343     301
    ROCE (%)[2]                12.3%   10.6%

 ^[1]Adjusted EBITDA (and adjusted Net profit) are Alternative Performance Measures (APM's) that reflect continuing operations.

  See page 11 for definition and reconciliation

  ^[2]January up until September

Note for the editors: for the full text of the press release see enclosed pdf or click here>

Additional Information 

Today DSM will hold a conference call for media at 08:00 and a conference call for investors and analysts at 09:00. Details on how to access these calls can be found on the DSM website, http://www.dsm.com.

DSM - Bright Science. Brighter Living.™  

Royal DSM is a global science-based company active in health, nutrition and materials. By connecting its unique competences in life sciences and materials sciences DSM is driving economic prosperity, environmental progress and social advances to create sustainable value for all stakeholders simultaneously. DSM delivers innovative solutions that nourish, protect and improve performance in global markets such as food and dietary supplements, personal care, feed, medical devices, automotive, paints, electrical and electronics, life protection, alternative energy and bio-based materials. DSM and its associated companies deliver annual net sales of about €10 billion with approximately 25,000 employees. The company is listed on Euronext Amsterdam. More information can be found at http://www.dsm.com.

Forward Looking Statement

This press release may contain forward-looking statements with respect to DSM's future (financial) performance and position. Such statements are based on current expectations, estimates and projections of DSM and information currently available to the company. DSM cautions readers that such statements involve certain risks and uncertainties that are difficult to predict and therefore it should be understood that many factors can cause actual performance and position to differ materially from these statements. DSM has no obligation to update the statements contained in this press release, unless required by law.

Contact Information
Investor Relations
Dave Huizing
t. +31(0)45-578-28-64
e. [email protected]

Media Relations
Stephen Hufton
t. +31(0)45-578-7029
e. [email protected]

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