Interim reprt for the first half of 2012

16 August 2012 – Sales and earnings in 1H 2012 as expected. FY 2012 expectation for EBIT growth increased; sales growth outlook adjusted within previous ranges

Sales growth in DKK was 7% (3% LCY, 3% organic) compared with the first half of 2011. EBIT grew by 12%, and the EBIT margin increased to 24.2%. The expectation for full-year 2012 EBIT growth is increased to 11-14% from 9-12%, and EBIT margin is now expected at 23-24%. The expectation for organic sales growth is adjusted within the previously announced range to 4-6%. Sales growth in LCY is now expected at 3-5% and in DKK at 7-9%.

In 1H 2012:

• Sales increased by 7% in DKK and by 3% in LCY and organically vs. 1H 2011
• Gross margin was 57.0%, an increase of 0.7 percentage point compared with 1H 2011 (on par with 1H 2011 when adjusting for the acquisition impact in 1H 2011)
• EBIT was DKK 1,354 million, up 12% on 1H 2011
• EBIT margin was 24.2%, an improvement of 1.0 percentage point on 1H 2011
• Net profit was DKK 1,003 million, an increase of 6% compared with 1H 2011
• Net investments excluding acquisitions were DKK 518 million, vs. DKK 547 million in 1H 2011
• Free cash flow before acquisitions totaled DKK 721 million, against DKK 1,001 million in 1H 2011
• ROIC including goodwill was 20.4%, against 22.1% in 1H 2011

“First-half sales and earnings development was as expected, and we have delivered according to plan,” says Steen Riisgaard, President & CEO. “Sales to some of the industries we serve, such as Household Care, are doing great. However, for other industries we serve – especially the U.S. biofuel industry – 2012 will be a more challenging year than previously expected. It’s also clear that the global economic situation is still uncertain. As a consequence, we’re adjusting our expectations for sales growth within the previously announced ranges. On the earnings side, I’m satisfied that we’re able to increase the full-year outlook for EBIT.”