German biofuels producer CropEnergies has reported strong first half of 2017/18 results.
In the company’s financial statement, CropEnergies said revenue increased by 31% to €460 million, compared to €350 million for the same period the year before. In the second quarter of 2017/18, they grew to €229 million, compared to €182 million the previous year.
The surge in revenue was helped by higher production volumes of ethanol as well as food and animal feed products and the growth in trading volumes.
Altogether, EBITDA increased by 13% to €67 million in the first half of 2017/18. In the second quarter of the current financial year, EBITDA amounted to €33 million, compared to €31 million the year before.
Operating profit reached €47 million. According to CropEnergies, higher proceeds for ethanol compensated for slightly decreasing sales prices for food and animal feed and higher raw material prices. Based on revenues, this results in an operating margin of 10.3%.
In the reporting period, CropEnergies increased production to 567,000 cubic meters, compared to 450,000 cubic metres the previous year. This increase was mainly due to the fact that the production plant in Wilton, UK, was taken back into operation in July 2016. The production of food and animal feed products grew parallel to the higher ethanol volumes, CropEnergies said.
In light of these results, CropEnergies has adjusted its revenues forecast for the 2017/18 financial year and now expects revenues for the full year to range between €880 million and €920 million.
This story was written by Liz Gyekye, editor of Biofuels International.