FRANCE: High sugar prices sweeten Tereos H1 profits
French ingredients group Tereos today (8 July) booked a jump in half-year profits, citing a boost from high sugar prices.
The company posted a 51% rise in EBITDA to EUR292.6m (US$371.3m) for the first half of its fiscal year after "record" world sugar prices, lower energy prices and the end of reforms to the EU sugar sector helped margins.
Tereos' half-year sales were up 1.8% at EUR1.68bn as a 6.5% rise in sugar sales helped offset a 17.5% fall in starch revenues.
In April, Tereos announced plans to shake up its international operations with the creation of a subsidiary listed in Brazil to be called Tereos Internacional.
The company outlined plans to merge its European cereal operations with its Indian Ocean sugar cane assets and its Brazilian-listed subsidiary Açucar Guarani to form a business generating US$2.5bn in sales.
Today, Tereos said Guarani shareholders had backed the merger at a meeting on June 24. On 29 July, Tereos Internacional will be listed on the Brazilian stock exchange.
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