Probiotics drive growth for Chr Hansen

Chr. Hansen experienced solid growth in its first quarter from September 1, 2010 to November 30, 2010.

Compared to the same period last year the company's revenue increased 22% to EUR 156 million ($213.52 million), corresponding to organic growth of 16%.

It raises its expectations to revenue growth this financial year.

"The financial year 2010/11 has started positively with strong organic growth in all three divisions. Strong demand for DVS cultures is driving results in Cultures & Enzymes. Health & Nutrition benefited from the continued interest for probiotics while the pronounced consumer preference for natural colors resulted in organic growth of 46% in Colors & Blends," says CEO Lars Frederiksen.

The Cultures & Enzymes Division accounted for 60% of group revenue in Q1 2010/11 and revenue growth of 12% compared to the same period last year, corresponding to organic growth of 6%.

Growth was driven primarily by yogurt, cheese and wine cultures, notably in the Asia-Pacific region and North America.

Accounting for 12% of group revenue the Health & Nutrition Division experienced organic growth of 13% and revenue growth of 16% in Q1 2010/11.

The division had particularly strong growth from the human health area.

Revenue in the Colors & Blends Division grew by 56% in Q1 2010/11, corresponding to organic growth of 46%, primarily driven by the conversion to natural colors.

The Colors & Blends Division accounted for 28% of group revenue.