CSM baking unit up 3% in year
Feb. 24, 2011
DIEMEN, THE NETHERLANDS — EBITA of the Bakery Supplies North America division of CSM for the full-year 2010 was $135.2 million, up 3% from $131.1 million during the previous year. Sales for the segment during the year were $2,077.3 million, up 25% from $1,655.4 million during the previous year.
For the fourth quarter, Bakery Supplies North America EBITA was $34.6 million, up 1% from $31.8 during the same quarter of the previous year. Sales were $574.2 million, up 32% from $436.3 million during the same quarter of the previous year.
Bakery Supplies Europe EBITA was €61.8 million ($85.3 million) for the year, up 36% from $45.3 million in the previous year. Sales were €1,022.6 million ($1,411.4 million), up slightly from €1,013.3 million during the previous year.
“I am pleased to report another successful year for CSM,” said Gerard Hoetmer, chief executive officer. “We delivered good progress in our EBITA performance combined with an encouraging sales trend which accelerated over the course of the year. Our results are achieved in the context of a highly challenging economic environment, demonstrating our competitive strengths resulting from the investments in our capabilities over the last few years. Our global procurement capability has been crucial to our ability to navigate through volatile commodity markets.”
Overall, CSM EBITA was €193.8 million ($267.5 million) in the year, up 27% from €150.6 million during the previous year. Sales for the year were €2,990.1 million ($4,127.4), up 17% from €2,555.9 million during the previous year.
The company said the acquisition of Best Brands, effective cost and raw materials management, an improving growth trend at Bakery Supplies and solid growth at Purac contributed to the improved performance.
In 2011, CSM expects to increase selling prices and reformulate products to compensate for raw material costs, which are expected to increase by at least €200 million in the year.