CSM books 2.5% increase in turnover

Food group CSM on Tuesday announced a 2.5% rise in turnover for the fourth quarter – up €52m to €854.7m.

Preliminary figures also show a rise in operating profit, excluding one-off costs, of 40% to €56.3m. One-off costs amounted to €19.5m for reorganisation and restructuring.

CEO Gerard Hoetmer said the restructuring programme had a much greater impact on cost-cutting than expected and the net debt position of the company has improved ‘significantly’.

For 2012 as a whole, CSM saw turnover rise by €202m to €3.3bn, half of which was due to exchange rate effects.

CSM said last November it hoped to have made progress on selling the bakery division, which books annual sales of €2.4bn, by the beginning of this year.

When the bakery activities have been divested, the company will consist of Purac and the US division Caravan Ingredients, which are both active in biotechnology. The company hopes the sale of the bakery unit will allow for investment in biotech, reduce debts and benefit shareholders.