DSM 1Q Ebitda +19%; Backs 2016 Guidance

By Ian Walker

Dutch nutrition and health company Koninklijke DSM N.V. (DSM.AE) Tuesday reported a 19% rise in first quarter earnings before interest, taxes, depreciation and amortization, and backed its full-year guidance.

The global science-based company active in health, nutrition and materials, said it aims to deliver increased full-year Ebitda and return of capital employed in line with the targets set out in its 'Strategy 2018'.

For the quarter ended March 31 DSM reported Ebitda of 296 million euros ($333.3 million), compared with EUR248 million in the same period a year earlier, on sales of EUR1.91 billion and EUR1.89 billion respectively.

"We are pleased to report that we delivered a strong first quarter in terms of growth, profitability and returns, with all businesses seeing the effects of our improvement programs," Chief Executive and Chairman Feike Sijbesma said.

"While the macro-economic environment remains uncertain, we are confident that we will deliver in line with our medium-term goals," he added.

Last November, the company said it plans to focus on improving its financial results through organic growth, reducing costs and strict capital allocation. It set a target of EUR250 million to EUR300 million in cost savings by the end of 2018.

Write to Ian Walker at [e-mail]; @IanWalk40289749

(END) Dow Jones Newswires

April 26, 2016 01:47 ET (05:47 GMT)

Copyright (c) 2016 Dow Jones & Company, Inc.