Results Danish Crown wants to use current momentum
In the past year, the world market for pork has undergone the most dramatic changes. At the same time, positive developments in the group’s processing activities have led to a 21% increase in profit from ordinary operations, up from DKK 2,091 mill. in 2017/18 to DKK 2,522 mill. Revenue is up from DKK 53,551 mill. to DKK 56,506 mill., equating to growth of 6% year-on-year.
Despite an increase in the raw material price of pork of more than 40% in the second half of the year, our Polish business Sokolów has posted a 25% increase in earnings, which is a historical high following the acquisition of the competitor Gzella. Danish Crown Foods has recorded solid earnings, with Baconspecialist Zandbergen and Danish Crown Toppings acquisitions returning particularly strong results, although the margins on, among other things, fresh meat and canned products remain under pressure.
The exports to Asia, especially China, which has been severely affected by African Swine Fever, were boosted significantly during the year. Total pork sales to China alone are up 29%, when measured in kg, while the total value of exports is up 63%.